Following the US elections in November, the crypto community has remained excited as pro-Bitcoin (BTC) and pro-crypto candidate Donald Trump emerged as the US President-elect. Throughout an extensive campaign, Trump expressed clear support for the crypto industry with promises of introducing favorable policies, including a national bitcoin reserve if elected.
As the Republican’s inauguration approaches, respected crypto figure and CEO of CryptoQuant, Ki Young Ju, shared his thoughts on the likelihood of Donald Trump fulfilling his promises to the crypto space.
In a post on December 28, Ki Young Ju discussed the feasibility of Trump’s pro-Bitcoin manifesto, particularly regarding the proposed adoption of BTC as a strategic reserve asset. He explained that historically, gold served as the global financial standard and saw price surges whenever the US faced economic threats. Over the past 50 years, the US dollar has become the global standard, with the US using various strategies to maintain economic growth and rejecting a return to the gold standard.
Ki Young Ju pointed out that Bitcoin is now filling the ideological space once occupied by gold, acting as a hedge against inflation and economic crises that fiat currencies like the US dollar may face. However, he believes the US government would only adopt BTC as a strategic reserve asset if they perceive a threat to their global economic dominance. Currently, the market sentiment suggests that such a threat is not imminent, as the US dollar continues to attract significant capital inflows.
Therefore, the US is more likely to acquire Bitcoin for risk management or economic leverage rather than as a reserve asset as anticipated by some Bitcoin enthusiasts. Young Ju also suggested that if Trump prioritizes US dollar dominance to reinforce economic supremacy, his pro-Bitcoin policies may take a back seat in his administration, potentially having minimal impact on his supporter base.
This scenario becomes more plausible following Trump’s recent statements boasting about the US economic power gap ahead of his inauguration in January. Despite his promises at the National Bitcoin Conference, Young Ju believes it is challenging to determine Trump’s political will to implement his pro-Bitcoin agenda, and a failure to do so would reveal those promises as merely a political strategy to secure votes.
Regarding the BTC price overview, at the time of writing, BTC is trading at $95,259, showing a 0.76% gain in the last day. However, the asset’s trading volume has decreased by 53.80% and is valued at $24.12 billion.
In conclusion, the crypto community remains optimistic about the potential impact of a pro-Bitcoin President-elect, but there are uncertainties surrounding the actual implementation of promised policies. As the inauguration approaches, all eyes are on how Donald Trump’s administration will navigate the relationship between Bitcoin, the US dollar, and economic supremacy. Only time will tell whether the promises made during the campaign will translate into tangible actions in the crypto space.
