Trump’s encryption reserves are already happening

Donald Trump wants to return to casino works. These days, the owner of the notorious Taj Mahal Casino does not care about gambling machines. He was appointed to a newer type of gambling: encryption. Yesterday, the president signed Executive Establishing both Bitcoin Strategic Reserves and “Digital Asset stock” consisting of different types of cryptocurrencies. Trump said during the White House encryption summit earlier in the day, that bitcoin stocks, which will be greater than the two, amount to “virtual gold fortress.” “Don’t sell your bitcoin coin.” This is a small phrase they have. I don’t know if this is true or not. Who knows hell. “

There are reasons for governments to store basic commodities. America has Strategic petroleum reserves To protect against disturbances in the global oil market or for use during natural disasters or other emergencies. Strategic pork reserves in China It helps the government to maintain stable prices, and South Korea has recently had to withdraw it Strategic cabbage reserves During the peak of the Kimchi season. But the encryption reserves will not serve any of these jobs. The apparent idea is that the storage of encryption can help “push economic growth and technological leadership”, as Fact paper For executive decree. But unlike the oil or even cabbage, Crypto does not serve the basic community performance. It is one of the very volatile and speculative assets with a little real application that has proven that the old old American dollar cannot already calculate. It is difficult to think of anything that will be less useful for America to store it.

Bitcoin strategic reserve is a noble name for what Trump’s actually executive matter did: the encryption is already owned by the government. Over the years, the United States has seized encryption assets as part of criminal and civil procedures. Bitcoin’s current value is estimated at $ 17 billion. Why does Trump seem to move forward with this idea not difficult to see. The mere presence of something called encryption reserves can benefit the president. Trump has gone himself in the encryption industry recently – until his release, $ Trump. On Sunday, he inspected his executive matter on the social truth: “I will make sure that the United States is the capital of encryption in the world.” “We are making America great again!”

Many other powerful members in his administration have encryption relationships. This includes David Sachs, a project capitalist is now Trump’s encryption and AI CZAR, and Minister of Commerce Howard Lootnick. (SACKS said that he sold all Crypto holdings before the administration started; Lutnick agreed to strip his commercial interests by mid -May. I contacted Musk, the White House, and the Ministry of Commerce for comment, but I have not heard.

Government stock can enhance encryption prices. In speaking encryption, the spirit of industry is: “the number rises.” In simple English, this means paying the price of encryption assets up and higher. How to do this is to find buyers who will pay more, a phenomenon sometimes called “greater travel theory.” Investing in something exaggerated or worthless in its essence may be the smart thing that must be done, if you can finally find a person who is put on it at a higher price. The encryption reserve effectively turns the United States government into the next largest fool. Trump’s executive order calls on the government to consider buying more bitcoin, a step that can increase the value of encryption. (Trump said that the measures taken to create the new reserve will not cost taxpayers any money, but provided some details about how to achieve this.)

Trump has already an effect on encryption values. In his social announcement on Sunday, he named five coins that will be included in the inventory: Bitcoin, Ether, Solana, Cardano and XRP. This is exactly what you want no Do if you want to assemble government encoding efficiently at reasonable prices; Naming the specific metal currencies that you intend to include later in the stock should cause high prices immediately. This is only what happened. The currencies mentioned Trump FiringHello. The encryption holders had the opportunity to achieve an elegant profit that sells some coins – despite the fact that the stock in the end simply included bitcoin and all other encryption assets that the government seized, making the details of Trump’s publications to be engraved.

Any government is trading in encryption raises concerns about how to use the currency. Since unknown encryption transactions can be performed, they provide almost unparalleled mechanism for bribery and corruption. Investing in encryption does not mean that the nation uses the currency as illegal, but the problem is the difficulty of knowing if it is.

Now that the president has created a coding reserve, he will want to continue the prices of high – otherwise the inventory will be of no value. Paying prices will require a fixed streamlook of positive news. But the good news is already dry, apparently. Trump’s executive order did not extend well with encryption traders, who were hoping that the government would make more than the transformation around the coins he owns: Bitcoin price decreased as soon as the demand was announced.

At a certain stage, even good news is not good enough. buying Rumors selling newsAs the old proverb says. Ultimately, the United States government will relate to a set of encryption and search for ways to raise the price up and not to sell it. If Trump continues to feed the encryption noise machine, he may benefit from it – the rest of us may be stuck with the bill.