Is the US buying Bitcoin a solution?

Avik Roy, President of the Opportunity Equality Research Foundation, argued that the US Bitcoin strategy will not have the expected impact.

The 47th president of the United States, Donald Trump's plans for Bitcoin (BTC) have pushed the crypto market into a bull run. The markets are expecting Trump to approve the strategic Bitcoin reserve, which is one of his election promises.

In Trump's strategic reserve plan, the payment of the national debt exceeding 35 trillion dollars with BTC is included. The drafted strategy includes the US buying 200,000 BTC every year.

Avik Roy from Opportunity Insights Research Foundation attended the North America Blockchain Summit held in Dallas on November 20. Speaking at the summit, Roy claimed that Bitcoin was overhyped.

Will the Strategic Bitcoin Reserve be successful?

US Senator Cynthia Lummis had announced that she would present the strategic Bitcoin reserve plans to Trump. The Senator argued that if the plan works, it would alleviate the US national debt, which exceeds 35 trillion dollars.

Avik Roy claimed that Senator Cynthia Lummis' comments on BTC were exaggerated and that Bitcoin would not relieve the US economy as believed.

Roy used the following expressions;

"Bitcoin reserve is a good plan but it doesn't solve the problem, you still need to make budget reforms to save us from a 2 trillion dollar federal deficit every year."

Roy also noted that BTC could reduce tension in bond markets. The foundation president noted the following;

"We can support the US dollar with Bitcoin, so that bond markets feel that the US is not bankrupt."

Senator Lummis had suggested converting some of the $448 billion worth of gold held in the US Treasury into BTC reserves. According to Lummis, buying BTC for 20 years would solve economic problems.

This article does not contain investment advice or recommendations. Every investment and trading activity carries risks, and readers should conduct their own research when making decisions.