Despite recent fluctuations, Bitcoin (BTC), the leading cryptocurrency, stays a focus of dialogue amongst investors and industry leaders. Following its record high of $109,000 just days ago, Bitcoin’s bullish momentum has waned, prompting renewed interest in its future potential.
Coinbase CEO Brian Armstrong recently shared his insights on Bitcoin’s trajectory during an interview on the World Economic Forum in Davos, Switzerland.
US Strategic Reserve As Key To Bitcoin’s Future Value
Armstrong emphasized the increasing institutional adoption of Bitcoin, particularly through exchange-traded funds (ETFs) and other financial instruments.
The manager believes that if the US were to establish a national Strategic Bitcoin reserve, it could significantly bolster Bitcoin’s value. In response to Armstrong, such a move would set a precedent for other G20 nations to follow, potentially pushing Bitcoin right into a price range of “multiple hundreds of thousands.”
“I believe he’s enthusiastic about it. I mean, he really desires to be the primary Bitcoin president,” Armstrong stated, referring to President Donald Trump. Armstrong highlighted his previous meetings with Trump, where they discussed the potential advantages of Bitcoin for the US economy and its role as a financial reserve.
Armstrong’s vision extends beyond mere speculation; he envisions a future where BTC becomes a normal reserve asset for governments worldwide. “The US has reserves in lots of assets—gold, oil, and various rare minerals. I feel the world is moving toward a Bitcoin standard for money,” he asserted.
Ethical Concerns Surround Trump Family’s Crypto Ventures
Trump has also launched its “official Trump coin” (TRUMP) just days before his recent inauguration. The coin, developed by CIC Digital—an affiliate of the Trump Organization—has already made headlines for its rapid rise in market capitalization.
Inside 48 hours of its debut, the Trump coin reached a staggering market cap of $73 billion, surpassing Dogecoin to change into the most important memecoin. Nevertheless, its value has since dropped significantly, settling at roughly $7.3 billion.
Concurrently, Melania Trump’s own token, MELANIA, launched around the identical time, currently holds a market cap of $732 million. The rapid ascent of those memecoins raised eyebrows and ignited debates in regards to the ethical implications of such ventures, especially considering the Trump family’s potential financial gain from these assets.
Gautam Chhugani, an analyst at Bernstein Digital Assets, remarked:
In our view, the launch of a memecoin by the most important political figure on the planet is an enormous paradigm shift in how the US and the remaining of the world approach crypto. It signifies a latest regulatory era, where governments see crypto as a technology to succeed in out to the masses directly.
On the time of writing, the market’s leading crypto is trading at $102,380, retracing over 3% within the 24-hour time-frame.
Featured image from DALL-E, chart from TradingView.com