“For too long our government has violated the cardinal rule that every bitcoiner knows by heart: Never sell your bitcoin…This afternoon I’m laying out my plan to ensure that the United States will be the crypto capital of the planet and the bitcoin superpower of the world and we’ll get it done,”,Donald Trump said during his keynote speech at 2024 Bitcoin Conference in Nashville, USA.
“Bitcoin just seems like a scam..“I don’t like it because it’s another currency competing against the dollar…I want the dollar to be the currency of the world, that’s what I’ve always said,” Trump told Fox in a phone interview in 2021.
Yes, the same person made both statements. Of course, the 2024 one is biased for the election season considering the avalanche of young people which could be won over. Yet, those statements are not incompatible.
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If stablecoins and broad cryptocurrencies ascend, the US dollar loses its hold on global payment and trade. So, advocating for the ascension of these currencies, especially the stablecoins like USDT and USDC, will mean betting against the US dollar. Bitcoin is used mainly as a financial asset that can appreciate in value, not as a medium of exchange like USD, so, the real focus should be on the stablecoins which are just there for transactions and payments. As those stablecoins rise in usage, the USD will lose market share.
However, it does not matter since US companies have a presence in those stablecoins. But that does not mean that supporting the rise of crypto should not be seen as a poison pill by the United States Government. Simply, stablecoins will eat into the USD share of global trade and that is a factual assessment for these currency classes.
With all said, the United States should be fine. They have got Coinbase, a publicly traded company, normalizing the crypto world at the highest level, even as many countries remain lost.
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Anything the US cannot lead in is bound to face attacks from multiple fronts. They will try to keep both the dollar and crypto relevant, so that either the play goes, they have their hands and legs there. Game on.