During a recent Bitcoin conference in Nashville, Tennessee, Robert Kennedy Jr., an independent US presidential candidate, revealed an ambitious financial plan. The plan involves investing $619 billion in Bitcoin to match the current US gold reserves. Kennedy Jr. believes that this move will revolutionize monetary policy and improve fiscal discipline within the federal government.
Kennedy Jr. discussed his plan during a roundtable discussion with industry experts Scott Melker and Caitlyn Long. He highlighted the alignment between his policies and the values of the Bitcoin community, such as personal freedom, property rights, and governmental integrity. Kennedy Jr. sees Bitcoin as a way to enhance self-sovereignty and combat what he calls a “destructive war economy” fueled by fiat currency.
In contrast to Kennedy Jr.’s support for Bitcoin, former President Donald Trump, who is also scheduled to speak at the conference, has shown mixed signals towards the cryptocurrency. Kennedy Jr. criticized Trump’s past skepticism and recent consideration of appointing JPMorgan CEO Jamie Dimon as Treasury Secretary, which he believes goes against the goal of reforming the political system.
Kennedy Jr. outlined a gradual approach to integrating Bitcoin into the US treasury, starting with treasury bills tied to hard currencies like platinum and gold. He proposed that new treasury issuances could be backed by these assets, with the percentage increasing over time. Ultimately, Kennedy Jr. aims to have the US government hold an amount of Bitcoin equivalent to its gold reserves.
Currently, the US government holds around 213,239 BTC seized through law enforcement, worth $14.3 billion. To match the US gold reserves valued at $619 billion, the government would need to purchase approximately 9.4 million BTC at current prices. This would represent a significant portion of the total 21 million BTC that will ever be mined.
For comparison, MicroStrategy, a major corporate holder of Bitcoin, owns 226,331 BTC, while BlackRock, a prominent Bitcoin ETF manager, controls 334,000 BTC. At the time of writing, the price of Bitcoin stands at $66,976.
Kennedy Jr.’s proposal to invest in Bitcoin reflects a growing trend of institutions and governments recognizing the value of cryptocurrencies. While the plan is ambitious, it could have far-reaching implications for the US financial system and the broader adoption of Bitcoin as a legitimate asset class. As the debate over the role of Bitcoin in traditional finance continues, Kennedy Jr.’s vision may spark further discussion and interest in the cryptocurrency space.