U.S. Bitcoin strategy picks up pace – BTC declared ‘digital gold’
Journalist
Posted:
- U.S. Treasury acknowledges Bitcoin as “digital gold,” emphasizing its position as a retailer of worth.
- Trump’s nomination of Scott Bessent signaled robust Bitcoin advocacy and potential strategic reserve plans.
Bitcoin [BTC]’s ascent previous the $100,000 milestone has ignited a worldwide frenzy, attracting buyers, establishments, and even governments.
Amid this optimism, Tesla’s Elon Musk has known as for the U.S. to determine a BTC strategic reserve, citing considerations over the nation’s $36 trillion debt.
U.S. Treasury acknowledges Bitcoin as “digital gold”
Including weight to the dialog, the U.S. Treasury Division has formally recognized Bitcoin as “digital gold,” highlighting its rising position as a retailer of worth.
In a current report, the Treasury said,
“Main use case for Bitcoin appears to be a retailer of worth aka ‘digital gold’ in a decentralized finance (DeFi) world,”
The U.S. Treasury’s acknowledgment of BTC as a retailer of worth akin to gold highlights its meteoric rise, with its market valuation rising from $6.4 billion in 2015 to an astonishing $1.3 trillion by 2024.
This exponential development underscores the rising curiosity in DeFi and digital tokens.
Trump’s U.S. Bitcoin technique
Including to the momentum, U.S. President Donald Trump has nominated pro-Bitcoin advocate Scott Bessent as the following Treasury Secretary.
That being mentioned, Trump’s earlier pledge to determine a “strategic nationwide Bitcoin reserve” and his daring prediction that BTC might surpass gold’s $16 trillion market capitalization alerts a major shift within the nationwide strategy to digital property.
Actually, Bessent commented on the identical post-Trump’s Bitcoin reserve proposal and mentioned,
“I feel that the whole lot is on the desk with Bitcoin.”
Different execs weighing in
Moreover, Federal Reserve Chair Jerome Powell just lately likened Bitcoin to gold on the DealBook convention.
He mentioned,
“It’s similar to gold solely it’s digital. Individuals are not utilizing it as a type of fee, or as a retailer of worth. It’s extremely risky. It’s not a competitor for the greenback, it’s actually a competitor for gold.”
Echoing an analogous sentiment was ARK Make investments CEO Cathie Wooden and Dennis Porter, who mentioned,
“The U.S. Treasury simply declared that bitcoin is digital gold and but some folks nonetheless suppose $100,000 bitcoin is simply too costly. We’re going a lot greater.”
Bitcoin’s value motion
Within the meantime, BTC has dropped 0.67% within the final 24 hours, with its value at $98,607.58 at press time, in accordance with CoinMarketCap.
Nonetheless, analysts speculate that the rally might lose additional momentum following Trump’s inauguration on twentieth January 2025.
But, the longer term stays unsure as Bitcoin navigates its subsequent strikes—whether or not it should keep its bullish pattern or face a bearish shift.
