Inclusion in the US cryptocurrency strategic reserve boosts asset prices via increased demand, liquidity, and stability, expanding usage and attracting institutional investment, while adhering to regulatory compliance.

What are the benefits of assets selected for the strategic reserve of cryptocurrencies in the United States?
Selected as the US cryptocurrency strategic reserve, assets will usher in a boom in market demand. Large-scale purchases by the US government will directly push up asset prices. Just like after Trump announced his plan to include five cryptocurrencies, the total market volume rose by more than US$300 billion in a short period of time, the prices of related assets soared, and the vitality of the market was instantly ignited.
Asset liquidity will also increase significantly. Becoming a strategic reserve means that more trading platforms and financial institutions will participate, the transaction depth will increase, the buying and selling will be more convenient, and the cost of investors entering and leaving the market will be reduced, which can effectively improve market efficiency.
Selected reserves can enhance asset stability. The government endorsement gives it official recognition, reducing market concerns about asset value fluctuations, attracting more safe-haven capital inflows, reducing extreme price fluctuations, and providing investors with more reliable investment options.
In addition, it can also expand application scenarios. The participation of the US government in many fields will prompt enterprises and institutions to accelerate the acceptance and use of these cryptocurrencies, promote their application in cross-border payments, financial settlement and other fields, and expand the scope of use of cryptocurrencies.
How to determine the inclusion criteria?
From the perspective of asset characteristics, scarcity is an important consideration. For example, the total amount of Bitcoin is constant at 21 million, and it maintains scarcity through the halving mechanism and ensures stability in value. This characteristic gives it an advantage in the competition for selection.
Market size and liquidity are also key criteria. Large-scale and high-liquid cryptocurrencies can better meet government reserve needs, actively trade, and operate flexibly when market fluctuates to ensure the safety and value of reserve assets.
The technological innovation and development potential of assets cannot be ignored. For example, Ethereum has built a rich ecosystem with innovative technologies such as smart contracts, showing strong development potential, and is more likely to be favored by the government and selected as a strategic reserve.
Compliance is equally important. Only cryptocurrencies that meet regulatory requirements in terms of anti-money laundering, investor protection, etc. can be included in the strategic reserves, ensure the stability of the financial system, and avoid potential risks.
Furthermore, the degree of fit with the US economic and financial strategy will also affect the selection. If it can help the United States improve its position in global financial competition and promote the development of the digital economy, it will be more likely to become a member of its strategic reserve.