US President Donald Trump announced the creation of a crypto reserve, largely composed of Bitcoin, though other cryptocurrencies are also included.
Trump's Plans and Market Reaction
On March 2, Trump announced the creation of a crypto reserve including assets such as Solana, XRP, and Cardano. Bitcoin's price initially surged with the news of its inclusion but later fell below $83,000, eventually recovering above $90,000, partly due to the delay in auto tariffs for Canada and Mexico.
Criticism and Experts' Insights
Bitwise chief investment officer Matt Hougan opined that the final reserve will be almost entirely Bitcoin, stating the inclusion of assets such as Cardano seemed more tactical. He noted that 'once the dust settles', the market might see potential benefits from this announcement.
Future of the US Crypto Reserve
Hougan mentioned that Trump's proposals are often altered, making it difficult to predict the final composition of the reserve. Upcoming debates and a White House summit could change its structure, while the US Secretary of Commerce hinted at a special status for Bitcoin. The strategic inclusion of a crypto reserve might prompt other countries to follow suit.
Trump's crypto reserve plan has sparked discussions. Despite criticisms, economic policy shifts from this could inspire interest from other nations, marking a step forward in the global adoption of cryptocurrencies.
