Bitcoin BTC/USD Critic Peter Schiff Warns the Strategic Bitcoin Reserve Is a Tool to Trick Americans

In an X post on Thursday, Schiff slammed the strategic Bitcoin reserve, stating that it exists solely to “scam” more Americans into buying crypto.

output: Bitcoin BTC/USD critic Peter Schiff is warning that the strategic Bitcoin reserve is a tool to trick Americans into speculative losses.

What Happened: In an X post on Thursday, Schiff slammed the strategic Bitcoin reserve, stating that it is being set up to “scam” more Americans into buying crypto.

Schiff called out President Donald Trump (TRUMP TRUMP/USD), predicting that more Americans will lose money in crypto under his influence than in any other speculative mania in history.

Schiff furthered his point with an example of the TRUMP token, which is already down 80% from its peak, making it a “perfect example” of misplaced hype.

According to Schiff, investors bought into TRUMP due to Trump's pro-crypto stance, and they are expecting it to benefit from the ex-president's popularity, which will never last.

His remarks come as the President lauded the strategic Bitcoin reserve at a pre-recorded address at the Blockworks Digital Assets Summit on Thursday.

Price Action: TRUMP is down 30% over the past month, while Bitcoin has dropped 10% and XRP price eroded about 9% over the same time frame.

Why It Matters: This isn't Schiff's first jab at crypto.

In an X post on Jan. 30, Schiff teased the meme coin creation and stated that he has instead created something better—an ordinal, the Bitcoin equivalent of an NFT.

In another post on Jan. 19, Schiff suggested that the Trump Media & Technology Group should follow Strategy's Bitcoin strategy but with TRUMP tokens.

According to him, they should issue convertible notes to fund the acquisition of more TRUMP tokens, creating a self-reinforcing cycle of price appreciation and capital expansion.

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