The U.S. President-elect Donald Trump’s claims to establish a Bitcoin ($BTC) strategic reserve have been contributing a lot to the crypto token’s upward price trajectory. Recently CryptoQuant CEO Ki Young Ju has categorized Donald Trump’s latest statement to pay off the U.S. debt with Bitcoin reserve as a viable approach. The CryptoQuant CEO took to social media to discuss the market position of Bitcoin and its role in the respective debt payoff.
Ki Young Ju Claims Using Bitcoin to Recompense the U.S. Debt Is an Achievable Approach
Ki Young Ju mentioned that, based on Bitcoin’s considerable capital inflows, it can be a big contributor to recompense the US debt. He added that over the last fifteen years, up to $790B in Bitcoin’s realized inflows placed its market capitalization at $2 trillion. In addition to this, during this year, the capital inflows of up to $352B have included $1 trillion into the market cap. This reportedly highlights the top crypto token’s potential to offset the debts of the United States.
Donald Trump Reveals the Possibility of Leveraging Bitcoin to Pay Off $34T U.S. Debt
In this respect, the CryptoQuant CEO was referring to Donald Trump’s latest statement about Bitcoin. The President-elect expressed the possibility that under his administration, they can leverage the high potential of Bitcoin to offset the $35T U.S. debt. Ki Young Ju claimed that this endeavor can be achieved in the case of a consensus on Bitcoin’s position.
However, the only risk hindering this plan would be the dumping of $BTC by the old whales as an attack on the U.S. Nonetheless, if the governments keep amassing $BTC until the year 2050 and the price thereof keeps increasing, they would potentially not dump it. Hence, the dominant status of Bitcoin may deliver a noteworthy economic support to the country.
The Approach Signifies Bitcoin’s Crucial Role in Forming Worldwide Monetary Strategies
From Ki Young Ju’s point of view, seventy percent of the overall U.S. debt is held domestically. Thus, offsetting its thirty-six percent by purchasing 1M $ BTC by the year 2050 denotes a viable approach. In this respect, if the government makes Bitcoin a strategic asset, it can potentially execute the debt payoff strategy. Keeping this in view, the unconventional yet likely feasible idea of creating a strategic Bitcoin reserve indicates the increasing impact of the chief crypto asset in forming worldwide economic strategies.
