U.S. Treasury Plans $76B Bitcoin Purchase as Strategic Reserve, Sparking Global Arms Race

Dec 9, 2024, 05:42 PM

The U.S. Treasury is considering a significant investment in Bitcoin, proposing to allocate $76 billion over five years to establish a strategic reserve. This move, at a current Bitcoin price of $100K, is seen as a hedge against inflation and economic instability. The proposal has sparked discussions about a potential 'arms race' between the U.S. and Russia, with both President Trump and President Putin involved, to secure their own strategic Bitcoin reserves. Senator Cynthia Lummis has suggested that the U.S. Treasury could buy 1 million BTC over five years, which would be backed by selling off gold reserves. This initiative could influence other countries to consider similar strategies, potentially leading to a global domino effect in Bitcoin adoption by nations.