A Theoretical Look at What Could Happen If Trump Created a US Bitcoin Reserve Fund

If the United States boldly acts with a strategic bitcoin reserve under the Trump administration, this bold move could cause a global financial upheaval, honoring bitcoin supporters as the last defenders of freedom in a crumbling fiat world. Here is a theoretical story of how this strategic bitcoin reserve and the rise of bitcoin's global dominance could unfold. Trump's Bitcoin Gambit: The Dawn of the US Strategic Reserve On January 20, 2025, when Donald Trump was sworn in as the 47th President of the United States, the country faced an unprecedented financial experiment. Imagine a bold departure from conventional currency, his administration carried out the plan of Senator Cynthia Lummis to create a strategic bitcoin reserve for the United States. The bill, supported by Lummis and others, allows the Federal Reserve to integrate BTC into its balance sheet and establish clear guidelines to protect the country's economic future in a rapidly digitizing world. Furthermore, 198.109 BTC seized from criminal seizures held are not only evidence of illegal activities but also the basis for the government's initial reserve. Critics mock and warn of financial stability risks, while supporters praise this as a revolutionary move - a measure to prevent the devaluation of fiat currency and a drama to maintain the global dominance of the US currency. Hyperbitcoinization is launched: Global race for digital gold If all of this becomes a reality and the United States pivots, other countries will quickly follow suit. A domino effect begins as central banks worldwide scramble to accumulate bitcoin. The previous adoption of bitcoin by El Salvador, once mocked, has proven to be correct, while larger economies such as Japan, Germany, and India initiate their own bitcoin reserve programs. By mid-2025, the term 'super bitcoinization' will emerge in public forums, highlighting the rapid voluntary adoption of bitcoin as a global currency standard. Exchange-traded funds (ETFs) and bitcoin exchange-traded products (ETPs) globally hold over one million BTC, witnessing an unprecedented influx of capital, with public companies like Microstrategy becoming financial giants. In this evolving narrative, the price of bitcoin is expected to soar to over $500,000 by the end of the year, driven by both institutional demand and retail participation. However, at the same time, this major change initiates a different outcome. The appeal of bitcoin as an inflation hedge begins to erode fiat economies. Countries tied to the US dollar struggle to maintain confidence in their own currency, and the dollar itself begins to crack under the pressure of a growing population segment abandoning the traditional financial system. The collapse of Fiat: Bitcoin price soars If all the above events come true, it is not difficult to imagine that by 2026, fiat currencies will start to weaken under the pressure of the increasing dominance of bitcoin. Hyperinflation is hampering weaker economies, while even the US dollar is experiencing significant loss of purchasing power. The initial amount of bitcoin held by the Federal Reserve increases exponentially in value, but newfound wealth does not prevent the wave of economic suffering for the average citizen. Officials reap most of the benefits. Retail investors, at last, understand the importance of self-custody and are starting to withdraw bitcoin from exchanges en masse. Meanwhile, institutional players struggle to adapt to the new reality. ETFs and custodial services, once seen as gateways to bitcoin for the masses, have become primary targets for government intervention as policymakers seek to regain control. A New Executive Order: History Repeats with Bitcoin The collapse of the legal tender has caused great disappointment to the current government and political changes are beginning to take place. The 2028 presidential election opens up a new democratic government, an administration intended to contain the chaos caused by bitcoin standards. Citing the need to restore order and protect the economy, the new president issued a strangely reminiscent executive order of Franklin D. Roosevelt's Executive Order 6102, which banned the hoarding of gold in 1933. Under this modern order, all bitcoins held by US entities—ETFs, exchanges, and publicly traded companies—are forcibly seized. The government cites national security concerns, viewing bitcoin hoarders as economic saboteurs. Publicly traded companies holding BTC are gutted as their assets are confiscated. Major exchanges comply reluctantly but swiftly, leaving millions of retail investors locked out of their funds. The actions of the US government have rocked the entire global financial system, but the price of Bitcoin, driven by its decentralized nature, continues to rise. At the time of the seizures' completion, Bitcoin was trading at nearly $1 million per coin. The victory of self-determination: The ultimate victory of freedom lovers Amidst the chaos, it's not too hard to imagine a silent revolution taking place. Those who foresaw the risk of storing records - those who transferred their assets to hardware wallets and protected their private keys - have become the true winners. While centralized organizations and ETFs succumb to government pressure, self-sovereign individuals have embraced the essence of self-custody digital currency as a powerful tool for financial freedom. In small communities across the United States and globally, bitcoin has become the backbone of the local economy. At that point, it is not too far-fetched to imagine someone cracking the code to allow the Bitcoin network to easily expand, processing billions of transactions daily. After this cryptocurrency revival, transactions once again occur peer-to-peer, far away from the prying eyes of the government. These self-custodial holdings not only become a store of wealth but also a means of survival. Although this story is purely theoretical and speculative, I think it is not beyond the realm of possibility. If it happens, the teachings of the Bitcoin revolution could shine brighter for everyone on this planet: placing trust in centralized entities, whether it be banks or governments, is a risky gamble. In an era where control is constantly centralized, only those who grasp financial independence can truly thrive. DYOR! #Write2Win #Write&Earn $BTC {spot}(BTCUSDT)

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GateUser-aa21c304vip
· 2024-12-24 06:26
bull回速归 🐂
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