- December 10, 2024
- Posted by: admin
- Category: BitCoin, Blockchain, Cryptocurrency, Investments
An executive of an American business intelligence company urged the US government to buy more Bitcoin and build a national reserve to enhance the country’s economic dominance.
MicroStrategy executive chairman Michael Saylor made a controversial suggestion that the US should sell its gold reserves to build the nation’s reserve.
Exchange Gold For Bitcoin
Saylor once again brought an eccentric proposal that would surely earn a lot of criticism, urging the US government to swap its gold reserve for Bitcoin.
The MicroStrategy executive, known as a staunch advocate of Bitcoin, told the US to rethink its economic strategy and shift towards the firstborn cryptocurrency.
In an interview with Yahoo Finance, Saylor made a bold recommendation that the country’s leadership should dispose of all its gold reserves so the government can buy more Bitcoin.
“Dump your gold, sell all the US gold, and buy Bitcoin because you can buy 5 million Bitcoin for the cost of the gold,” he remarked.
Don’t Buy More Gold
Saylor dissuaded the US government from purchasing more gold for its national reserve.
The Bitcoin supporter has previously noted that gold is an ineffective store of value, saying that gold is “antiquated” and has many vulnerabilities.
The United States should buy #Bitcoin and sell Gold.pic.twitter.com/HD69iy1EAO
— Michael Saylor
(@saylor) December 7, 2024
For instance, he explained that moving a significant volume of gold would have logistics challenges which is, according to him, the opposite of Bitcoin which is highly portable and secure.
Saylor said that trading gold for Bitcoin would lift the country’s assets to $100 trillion, adding that it is also a strategy to improve the nation’s economic dominance.
“You’ll demonetize the entire gold asset class and our enemies hold gold in their banks, and so their asset(s) would go to zero, while our asset(s) go to trillion dollars,” he explained.
Data showed that the US is among the countries with the largest gold reserves, which is estimated to comprise 72% of the country’s financial reserves.
According to TradingEconomics, the US government has 8,133 tons of gold and commanded international commodity trading.
Bitcoin Could Replace Gold
Analysts have previously predicted that gold might be replaced by Bitcoin as the premier store of value by the end of the decade.
Bernstein Research explained that Bitcoin is a superior alternative to gold because it possesses a technological edge and growing adoption.
Earlier, Saylor suggested that Bitcoin would surpass gold in market capitalization, saying that the crypto’s market capitalization would reach $280 trillion as compared to the gold market capitalization of $45 trillion.
US President-elect Donald Trump is keen on establishing a Bitcoin Strategic Reserve to make cryptocurrency the dominant national asset and propel the US as the most successful nation in cryptocurrency.
Featured image from Pexels, chart from TradingView
