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Anthony Scaramucci, founder and Managing Partner at SkyBridge Capital, recently revealed his interesting views on the future of Bitcoin and the global cryptocurrency market.
During a speaking session at the Bitcoin MENA 2024 Conference, Scaramucci revealed a startling prediction: by 2025, China is likely to establish a Bitcoin strategic reserve, following a possible move by the United States (US). This prediction comes amid increased interest in Bitcoin as a strategic asset, not only by large corporations but also by major countries that are beginning to see the long-term potential of this cryptocurrency.
China: From Ban to Strategic Reserve Bitcoin?
Scaramucci’s statement regarding China caught the attention of many. Previously, the world’s second-largest economy had imposed a total ban on Bitcoin mining by 2021. However, Scaramucci believes that with the US changing its stance on Bitcoin and becoming more pro-crypto, China may reconsider allowing Bitcoin mining again, and even build their own Bitcoin strategic reserve.
Scaramucci stated, “If the US moves towards a Bitcoin strategic reserve, I have no doubt that China will not participate. It’s just a matter of time.” In this sense, the US move to adopt Bitcoin as a strategic reserve could be the impetus for other major countries, including China, to follow suit, in order to maintain their competitiveness and economic security in a global market that is increasingly dependent on blockchain technology and cryptocurrencies.
Trump and the Potential US Bitcoin Reserve
One of the factors underlying Scaramucci’s prediction is the increasingly strong pro-crypto stance in the US, especially with president-elect Donald Trump expected to introduce policies that are more supportive of digital assets, including Bitcoin.
Trump, who has long shown an interest in cryptocurrencies, is expected to push for the establishment of a national Bitcoin reserve. This move could potentially strengthen the US position as a country that supports and recognizes the value of Bitcoin, which will affect not only the domestic market but also the global market.
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Experts think that if the US does initiate a Bitcoin Reserve policy, this could lead to a significant surge in the price of Bitcoin, possibly even reaching more than $1 million per BTC. This will certainly attract the attention of other countries to follow in the footsteps of the US to maintain their competitiveness in the digital currency market.
Other Countries Starting to Look at Bitcoin as a Strategic Reserve
The US is not the only country to start looking at Bitcoin as part of their strategic reserves. Several other countries have also shown interest in the cryptocurrency. For example, El Salvador, which since 2021 has recognized Bitcoin as a legal currency and started to increase its national Bitcoin reserves. El Salvador’s decision was widely praised as an innovative step in managing the country’s finances, although it also drew criticism from various international circles.
Also Read: BRICS Considers Launching a New Currency Powered by Blockchain And Cryptocurrency
In Brazil, federal deputy Eros Biondini recently proposed a law establishing the creation of a Sovereign Bitcoin Strategic Reserve. The aim of the law is to diversify the country’s financial assets and reduce dependence on foreign currencies such as the US dollar and the euro. With this move, Brazil hopes to capitalize on Bitcoin’s huge potential as an asset that can strengthen the country’s economic resilience.
Russia is not far behind. State Duma Deputy Anton Tkachev has proposed the establishment of a Bitcoin Strategic Reserve in Russia.
The move aims to reduce the country’s dependence on the US dollar and Chinese yuan in international trade, as well as to mitigate the impact of international sanctions that have been imposed on Russia. This initiative shows how Bitcoin can be a tool for countries to reduce dependence on traditional fiat currencies and increase their economic independence on the global scene.
Global Implications of a Bitcoin Strategic Reserve
The establishment of a Bitcoin strategic reserve by a major country could have a significant impact on the cryptocurrency market and the global financial system. If countries like the US, China, Brazil, and Russia start including Bitcoin in their reserves, it will increase the adoption and legitimization of Bitcoin as a reliable and long-term valuable asset.
The impact on the crypto market is huge. One of the main effects of these strategic reserves is the strengthening of demand for Bitcoin, potentially pushing the price of Bitcoin to higher levels. Some experts even predict the price of Bitcoin could exceed $1 million in the next few years if this trend continues.
In addition, as more countries consider Bitcoin as part of their economic policies, we may see more innovation in the regulation and use of this digital asset. This could create a clearer global framework for how cryptocurrencies can be accepted, traded, and used in international transactions.