Kennedy has recently proposed that the federal government should purchase Bitcoin until its holdings align with the value of the nation’s gold reserves. Currently, the US gold reserves amount to around 8,133 tonnes, valued at approximately $615 billion. This would translate to roughly 9.4 million BTC, accounting for nearly 45% of the total Bitcoin supply. Kennedy believes that Bitcoin is an “honest currency” and sees it as a valuable asset for the government to hold in its reserves.
In an interview with Custodia Bank CEO Caitlin Long and YouTuber Scott Melker, Kennedy emphasized the unique qualities of Bitcoin. He stated that Bitcoin was designed to mirror the intrinsic value of gold but offers advantages such as infinite divisibility, making it an ideal currency. Kennedy expressed his satisfaction with rival presidential candidate Donald Trump’s recent interest in crypto, highlighting the significance of Bitcoin in the current economic landscape.
Kennedy proposed a novel approach to backing government fiat currency and debt with a basket of hard currencies, including gold, silver, and BTC. He suggested the issuance of a new class of Treasury bills tied to this basket, increasing the Bitcoin anchor percentage gradually over time. Kennedy believes that decentralizing the government is crucial for safeguarding democracy and sees Bitcoin as a key tool in achieving this goal.
Kennedy argues that Bitcoin represents an “honest currency” due to its proof-of-work and decentralized nature. He believes that by promoting decentralization, Bitcoin can combat government corruption, protect property rights, preserve personal freedoms, and empower individuals with self-sovereignty. Kennedy himself has allocated a significant portion of his net wealth to Bitcoin, citing his admiration for its elegance and utility.
Speculation within the crypto community suggests that Donald Trump may make significant announcements regarding Bitcoin at the ongoing Bitcoin Conference in Nashville. There are rumors circulating that Trump could unveil plans for a strategic Bitcoin treasury during his address at the conference. In contrast, rival presidential candidate Kamala Harris is reportedly less enthusiastic about crypto and has had to familiarize herself with it to appeal to voters.
Kennedy’s proposal to have the federal government purchase Bitcoin to align with the nation’s gold reserves reflects a growing trend towards recognizing the value and potential of cryptocurrency in traditional financial systems. By advocating for the integration of Bitcoin into government reserves and highlighting its benefits, Kennedy underscores the need for innovation and adaptation in an evolving economic landscape. The rumors surrounding Trump’s potential Bitcoin announcements further emphasize the increasing relevance of cryptocurrency in mainstream political discourse.
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