Former President Donald Trump reiterated his support for Bitcoin and the crypto industry during a recent livestream with popular streamer Adin Ross. Trump emphasized the importance of fostering innovation in the digital asset sector and expressed his belief that the US government should not sell its crypto holdings despite recent speculation.
The discussion came in the wake of a significant transaction where a wallet linked to the US government transferred $2 billion worth of Bitcoin to an unidentified wallet. This move has sparked fears in the market amidst economic and geopolitical tensions. However, some have suggested that the transfers could be related to the US Marshalls Service appointing Coinbase to custody the assets.
Trump compared the significance of digital assets to artificial intelligence, highlighting the transformative potential of crypto as a modern currency. He stressed the need for the US to take a leadership role in the crypto space to avoid falling behind other nations, particularly China.
The former President also criticized the current administration’s negative stance towards crypto and the recent large-scale transfers, stating that the focus should be on building and developing the industry rather than offloading assets.
In a broader context, Trump hinted at the idea of using a portion of the government’s Bitcoin holdings to reduce the national debt, which currently stands at $35 trillion. He suggested that Bitcoin’s potential appreciation against the US dollar could lead to a gradual transition of wealth into a more stable store of value.
Senator Cynthia Lummis has introduced legislation calling for the US to purchase up to 200,000 Bitcoin annually over the next five years, highlighting the increasing political significance of crypto in the country.
As of the latest data, Bitcoin was trading around $54,144, down 6.84% over the past 24 hours. The total crypto market was valued at $1.91 trillion with a 24-hour volume of $246.97 billion, and Bitcoin dominance stood at 55.86%.
Overall, Trump’s reaffirmation of support for Bitcoin underscores the ongoing debate surrounding the role of crypto in the US economy and the potential impact on global financial markets.