Bitwise says Lower Your Expectations for Bitwise Bitcoin Reserve: This Cannot Be Done Without It! - Coin Bulletin

While discussing the US's plans to create a Bitcoin Strategic Reserve (BSR), Jeff Park, President of Bitwise Alpha Strategies, mentioned that it would be difficult for this process to happen soon

The idea of including Bitcoin in the financial reserves of the United States, while exciting for some, Park emphasized that such a process requires multilateral cooperation. Park stated that the US cannot make such a decision alone, and creating a Bitcoin reserve without consulting its allies could cause a major diplomatic crisis.

In particular, without informing important trading partners such as Japan, taking such a step could disrupt economic balances. According to Park, it seems unlikely that the implementation of BSR will be possible without a change in the IMF's policy towards Bitcoin.

IMF and Bitcoin: A contradictory situation

Park, while seemingly supporting the idea of the US establishing a Bitcoin Strategic Reserve on one hand, pointed out in the IMF's recent report on El Salvador that the request to halt the accumulation process of Bitcoin created a contradictory situation.

Park, who says that the US is behind the IMF's decision, reminded that the US has 20% voting power in the IMF and thus has the veto power. According to Park, the IMF's anti-Bitcoin stance actually shows that the US does not want states to use Bitcoin as an official reserve, as this could weaken the global dominance of the dollar.

Park therefore pointed out that BSR discussions are currently creating a more domestic political agenda and that the real determining development will be the change in the IMF's stance. Park, who said "The real signal will come from the IMF. BSR won't happen without that change", emphasized that investors should not engage in speculation about BSR for now. According to him, the most important indicator for the price of Bitcoin is the 10-year Treasury bond yields of the United States, and the real rise will occur with the decrease in interest rates. He added, "One should stay away from artificial price movements created by BSR discussions, and the real focus should be on long-term interest rates."