Bitcoin (BTC) Act of 2024 Promises to Make Bitcoin a Strategic Reserve Asset in the US

The US national debt has officially crossed the $36 trillion line. This translates to around $106,610 debt per citizen or $272,821 debt per taxpayer.

The United States national debt has officially crossed the $36 trillion line, translating to approximately $106,610 debt per citizen or $272,821 debt per taxpayer. These figures are staggering compared to the country's estimated $5 trillion in tax revenue.

This alarming development, as billionaire American entrepreneur and Tesla CEO Elon Musk warned earlier, puts the country on the brink of bankruptcy. However, it also presents an opportunity to test the waters regarding the proposition of using Bitcoin (BTC) as a strategic reserve asset to hedge the country against inflation or potential economic collapse.

Furthermore, this situation highlights the urgent need to implement cost-cutting measures in government spending to slow down the Federal Reserve's money printers. This is where the role of the upcoming “Department of Government Efficiency,” or D.O.G.E., comes into play.

Standard Chartered believes there's a low probability of the US adopting Bitcoin as a strategic reserve. Nevertheless, the crypto community is holding on to President-elect Donald Trump's promise of pushing a law that would transform his promise into a reality once he and his allies in Congress take over. Senator Cynthia Lummis is currently spearheading the charge toward the realization of this goal through the proposed Bitcoin Act of 2024.

MicroStrategy Executive Chairman Michael Saylor shared the same outlook regarding the establishment of a Bitcoin strategic reserve. He pointed out that he's “incredibly bullish for digital assets” in an interview with CNBC.

Saylor expects to see a lot of pro-Bitcoin and pro-business policies in the incoming administration as the government's war on crypto is about to come to an end. Along the way, he referred to Bitcoin as the “manifest destiny for the United States.”

Trump makes history as the first-ever crypto-friendly President of the United States (POTUS). Despite his apprehension on these virtual assets, including Bitcoin, during his first term at the White House, he has since then pivoted his stance toward being an ally to their cause to transform the landscape of finance. In doing so, he became an active member of the community through attendance in crypto-related events, engagement in non-fungible token (NFT) projects, backing a new DeFi platform, and even being a holder of altcoins.

Trump had also surrounded himself with the most pro-crypto allies. Among the notable crypto personalities under his upcoming administration include Vice President-elect JD Vance, Musk, and Vivek Ramaswamy.

Speaking of Musk and Ramaswamy, Trump has officially announced that they will lead an independent agency tasked to significantly cut government spending. This comes at a very opportune time as the US desperately clings to a cliff toward federal bankruptcy.

The new department, despite not having anything to do with crypto, still soundly resonates within the sector's close-knit members. After all, its name is a huge shout-out to Dogecoin (DOGE), which represents financial freedom and community-building for people through engagement on the humorous side of crypto.