The post Trump’s Win Could Be Game-Changer for Crypto with Proposed Bitcoin Act appeared first on Coinpedia Fintech News
The cryptocurrency market is filled with excitement after Bitcoin surged to a new all-time high, reaching $76,200. Many are speculating that former President Donald Trump’s recent victory in the U.S. presidential election could be the catalyst for Bitcoin and other cryptocurrencies to soar even higher. CoinShares, a leading digital asset management firm, highlights a promising future with the proposed “Bitcoin Act,” which could drastically influence the market.
Bitcoin as a U.S. Strategic Reserve Asset?
One of the most exciting possibilities under the Trump administration is the establishment of Bitcoin as a strategic reserve asset.
According to James Butterfill, head of research at CoinShares, the proposal suggests that the U.S. government could acquire up to 5% of Bitcoin’s total supply. This aligns with Trump’s previous pledges to establish the U.S. as “the crypto capital of the planet” by creating a “strategic reserve” of Bitcoin.
Butterfill further notes that this move would give Bitcoin a similar role to gold in the national reserve, providing it with new levels of legitimacy and stability.
If approved, the Bitcoin Act could also drive increased demand from both institutional and governmental sectors, potentially lifting Bitcoin’s value even higher.
Support for Bitcoin Act from Key Figures
The idea of a national Bitcoin reserve is not new. Earlier this year, U.S. Senator Cynthia Lummis introduced the “BITCOIN Act” to the Senate, proposing that the government gradually purchase 1 million BTC over the next five years.
This plan, aimed at strengthening U.S. financial innovation and technological competitiveness, gained attention as Trump’s campaign embraced the concept. Lummis and other supporters argue that this could help reduce national debt while positioning the U.S. as a leader in the digital economy.
Crypto-Friendly Regulation Coming
Trump’s stance on the U.S. Securities and Exchange Commission (SEC) could play a big role in shaping the crypto market. He has previously criticized the SEC’s strict approach under Gary Gensler, calling for friendlier policies on digital assets.
With his election, experts believe we may see changes in SEC leadership that support crypto growth. These potential changes could bring significant benefits to the crypto industry, especially for U.S.-based firms like Coinbase and Galaxy Digital.