- U.S. Treasury acknowledges Bitcoin as “digital gold,” emphasizing its function as a retailer of worth.
- Trump’s nomination of Scott Bessent signaled sturdy Bitcoin advocacy and potential strategic reserve plans.
Bitcoin [BTC]’s ascent previous the $100,000 milestone has ignited a world frenzy, attracting buyers, establishments, and even governments.
Amid this optimism, Tesla’s Elon Musk has known as for the U.S. to determine a BTC strategic reserve, citing considerations over the nation’s $36 trillion debt.
U.S. Treasury acknowledges Bitcoin as “digital gold”
Including weight to the dialog, the U.S. Treasury Division has formally acknowledged Bitcoin as “digital gold,” highlighting its rising function as a retailer of worth.
In a current report, the Treasury acknowledged,
“Primary use case for Bitcoin seems to be a store of value aka ‘digital gold’ in a decentralized finance (DeFi) world,”
The U.S. Treasury’s acknowledgment of BTC as a retailer of worth akin to gold highlights its meteoric rise, with its market valuation rising from $6.4 billion in 2015 to an astonishing $1.3 trillion by 2024.
This exponential development underscores the rising curiosity in DeFi and digital tokens.
Trump’s U.S. Bitcoin technique
Including to the momentum, U.S. President Donald Trump has nominated pro-Bitcoin advocate Scott Bessent as the following Treasury Secretary.
That being stated, Trump’s earlier pledge to determine a “strategic national Bitcoin reserve” and his daring prediction that BTC might surpass gold’s $16 trillion market capitalization indicators a big shift within the nationwide method to digital belongings.
In reality, Bessent commented on the identical post-Trump’s Bitcoin reserve proposal and stated,
“I think that everything is on the table with Bitcoin.”
Different execs weighing in
Moreover, Federal Reserve Chair Jerome Powell not too long ago likened Bitcoin to gold on the DealBook convention.
He stated,
“It’s just like gold only it’s virtual. People are not using it as a form of payment, or as a store of value. It’s highly volatile. It’s not a competitor for the dollar, it’s really a competitor for gold.”
Echoing the same sentiment was ARK Make investments CEO Cathie Wooden and Dennis Porter, who stated,
“The U.S. Treasury just declared that bitcoin is digital gold and yet some people still think $100,000 bitcoin is too expensive. We are going much higher.”
Bitcoin’s worth motion
Within the meantime, BTC has dropped 0.67% within the final 24 hours, with its worth at $98,607.58 at press time, in keeping with CoinMarketCap.
Nevertheless, analysts speculate that the rally might lose additional momentum following Trump’s inauguration on twentieth January 2025.
But, the long run stays unsure as Bitcoin navigates its subsequent strikes—whether or not it should keep its bullish pattern or face a bearish shift.
