Let's get one thing out of the way: the United States already owns more bitcoins than any government in the world.
https://x.com/pete_rizzo_/
Although these data are trueYou wouldn't exactly know it from the obscene amounts of FOMO industry lobbyists generate on social media.
At x, btc Inc CEO David Bailey has been pushing for President Donald Trump to issue an executive order putting this into practice. <a target="_blank" href="https://x.com/DavidFBailey/status/1857219319467254172″>the first daywhile Satoshi Action Fund founder Dennis Porter has been stoking enthusiasm at the state level, promising to get states actively involved in the purchase. <a target="_blank" href="https://x.com/Dennis_Porter_/status/1858897585261736153″>before the federal government as an act of patriotic vanguard.
Look, I'm in the bitcoin Strategic Reserve. Yes, the United States needs a long-term plan for the dollar, one that will (in all likelihood) lead it to relinquish its status as a global reserve currency.
Yes, the United States should actively boost the bitcoin market and industry. But this sky-is-falling approach couldn't rightly be more at odds.
There are no other governments buying bitcoin, nor do they have any (public) plans to do so. The next largest state holder of bitcoin is apparently China, which has formally banned its use.
Of the countries that are actively buying bitcoin with intent: <a target="_blank" href="https://www.fxstreet.com/cryptocurrencies/news/crypto-today-bhutan-sells-33m-btc-mcdonalds-launches-nfts-pepe-sui-emerge-top-gainers-202411142213″>Bhutan has just over 10,000 btc, while El Salvador is stuck around 6,000 btc. Neither of them are going to buy more bitcoin than the US government already has, nor do they have a very popular money printer.
Final point: Even if the US government didn't buy bitcoin for a decade, its stockpile would be considerable. Sure, you can argue that it's about sending a message, about showing leadership in the world, but there are many ways to do it without wasting political capital.
Is a Strategic Reserve more important than regulation that truly alleviates barriers to our industry? Will that allow companies to increase sovereign use of the currency?
Let's not forget the horrible tax laws that make bitcoin holders think twice before using bitcoins for purchases.
All of this is to say that proponents of the bitcoin Strategic Reserve should not exaggerate: there is a lot to be gained by simply getting the US government to stop selling the bitcoin it already holds, and arguably greater profits can be made, or at least much worse laws to erase.
Would it be great if the US government started buying bitcoin? Surely. The industry has political capital to capitalize on, but let's use it to spread bitcoin adoption, not just fill our bags.
This article is a Carry. The opinions expressed are entirely those of the author and do not necessarily reflect those of btc Inc or bitcoin Magazine.
