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Donald Trump continues one-sided beef with China over crypto

CryptopolitanCryptopolitan2024/08/05 16:00
By:By Jai Hamid

Share link:In this post: Trump thinks the U.S. needs to step up its game in crypto to stop China from taking the lead. He’s pushing for fewer crypto regulations and wants to create a big national bitcoin reserve. Trump plans to replace the SEC chair with someone who’s pro-crypto and wants to make America the “crypto capital of the world.”

Donald Trump has found a new target in his long list of beefs: China, specifically regarding crypto. He believes China could beat America in the crypto game for a bunch of reasons even though China doesn’t even like crypto.

Yet.

Trump has been publicly loving crypto for months now. He says if the U.S. doesn’t get its act together, China will take the lead in crypto. This could give China a huge economic edge globally.

Trump’s push for crypto leadership

Trump’s pushing for quick action. He’s worried China is moving fast in this space. He says, “if we don’t do it, China will.” He links being a crypto leader to dominating in tech, science, manufacturing, AI, and space. 

Trump wants the U.S. to lead in all these areas. By going big on crypto, the former president wants to counter China’s growing influence and tech advancements. This is all part of his bigger fight against China on many fronts.

Trump is setting himself apart from what he sees as the Biden administration’s attack on cryptocurrencies. His stance fits right in with his “America First” policy and his worries about China’s rise in dominance.

His plans

Trump has a list of actions he thinks will keep the U.S. on top in the crypto world. First, he wants to make it easier for the crypto industry by cutting down on regulations.

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He’s also floating the idea of a National Strategic Bitcoin Reserve. Trump calls it a “permanent national asset” but hasn’t given a lot of details yet. Another is his plan to replace Gary Gensler, the current SEC chair, with someone who would support the crypto industry.

Trump wants to turn America into the “crypto capital of the world” and a “Bitcoin superpower.” He said he was creating a “crypto army” to fight the Democrats on election day. And as part of his campaign strategy, Trump started accepting cryptocurrency donations.

Trump’s vision for a national Bitcoin “stockpile” is pretty ambitious. He wants to make Bitcoin a permanent national asset, similar to gold or oil reserves. He plans to keep all the Bitcoin the U.S. government holds or gets in the future. 

This includes about 210,000 Bitcoins, worth around $14 billion, seized from illegal operations like the Silk Road dark market

The idea is to hold this stockpile for at least 20 years, according to legislation being drafted by Senator Cynthia Lummis. One goal of this Bitcoin reserve is to potentially reduce the national debt. 

Cynthia suggested it “can cut our debt in half.” Trump’s plan also includes big expansion goals. Lummis’s proposed bill aims to gather 1 million Bitcoins, about 5% of the world’s Bitcoin, over five years. He also wants to convert excess reserves at the twelve Federal Reserve banks into Bitcoin over five years.

See also Donald Trump calls the economic crash “Kamala Crash and Great Depression of 2024”
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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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