In the ever-evolving world of cryptocurrency, there are indeed very few big names who spark as much discourse and speculation as former President Donald Trump himself! Trump, who is popular for voicing strong and polarising opinions, hasn’t moved back from sharing his thoughts on Bitcoin and the wider digital currency space. Investors, crypto-enthusiasts, and observers alike should be well aware of and understand Trump’s perspective of Bitcoin, as a financial restructuring and political power continue to link up.
The confluence of Trump’s political trajectory and Bitcoin’s take-off offers a riveting analysis of contacts and mutual influences. Bitcoin experienced impressive junctures during Trump’s presidency. These include a rapid increase in Bitcoin value and heightened mainstream acceptance. Various sectors, including digital currencies, have significantly felt the impact of Trump’s economic policies and viewpoints.
As Bitcoin continues to disrupt the traditional financial systems, Trump’s take on this digital asset imparts valuable insights into the complex relationship between the evolving global financial scenario and political power.
Trump’s outlook on Bitcoin and cryptocurrencies has attracted a lot of attention and analysis. Although Trump hasn’t been expressive about it, his stance on digital currencies has always been full of scepticism.
In a 2019 tweet, Trump declared, “I am not a fan of Bitcoin and other Cryptocurrencies, which are not money, and whose value is highly volatile and based on thin air."This tweet came as an obvious public criticism of Bitcoin and cryptocurrencies.
In the same tweet thread, Trump further went on to criticise Facebook’s suggested digital currency- Libra (now Diem). In the tweet thread, he asserted that if companies like Facebook wanted to become financial institutions, then they must employ a banking charter and stick to banking regulations.
Despite Trump’s criticism of Bitcoin and digital currencies, his tenure as the President has seen vital developments in the crypto industry. These include regulatory scrutiny discourse around regulations of digital currency.
The recent 2024 Nashville Bitcoin Conference is a landmark event!
Trump, in his 45-minute speech at the conference, expressed his allegiance towards Bitcoin. He said “ America will once again become a nation that protects property rights, privacy, transactional freedom, freedom of association, and freedom of speech. […] Bitcoin stands for freedom, sovereignty, and independence from the coercive control of governments. […] There will never be a CBDC if I am elected president.”
He further added, “Those of you in this room are the heirs to generations of pioneers, patriots, risk-takers, and renegades who built the modern world. You are the Edisons, the Wright brothers, the Carnegies, and the Henry Fords of the modern era. What you are doing may very well outlive us all and inspire humanity for generations to come.” “This is a red-letter day in your industry’s history. You are building America’s future with intelligence and courage. Most people don’t have that courage. My job will be to set you free and let you do what America does best: win.”
In a few months, if Trump manages to win the Presidential election, Bitcoin will gradually walk towards becoming an international reserve currency. In easy words, under Trump’s rule, a ‘strategic reserve’ will be established. This means the 210,000 bitcoins which were seized by the Justice Department will not be sold.
Trump announced: “If I am elected, my administration’s policy will be to retain 100% of the bitcoins it holds and acquires.”
Although Bitcoin isn’t a magical currency, nations increasingly becoming cautious about depending on treasury bonds will be sent a powerful message because of the decision to hold Bitcoins in reserves.
Countries within the BRICS group, have been deliberately straying away from the dollar to gold, as they wish to reinstate the Gold Standard. A Bitcoin reserve is a positive step in that direction.
Donald Trump is well aware that a crucial portion of international tension takes birth from the petrodollar. Petrodollar allows the U.S. the privilege of maintaining a sustained trade deficit.
Eventually, nations may start to depend more on gold and bitcoin for their exports. By spearheading the establishment of a National Bitcoin Reserve, the US can obtain a temporary advantage.
