US president Donald Trump wants to make his country a “Bitcoin superpower,” but the question remains who he is competing with.
Speaks to Blockwork’s Digital Asset Summit On March 20 with a majority of executives and observers in the crypto industry, he said, “Together we make America unobtrusive bitcoin superpower and the world’s crypto capital.”
The US crypto industry has benefited greatly from the preference of executive orders from Trump’s White House, including the establishment of a “strategic bitcoin reserve” – an advocate of moving as a major measure for Bitcoin’s adoption.
However, many other countries, including major US trading partners, are not only ready to take in Bitcoin as a reserve owner, asking the question of who is competing with the US to become a “Bitcoin superpower.”
https://www.youtube.com/watch?v=3Dyench-2IS
US allies, trading partners and rivals do not compete with Bitcoin
Compared to major trade partners and geopolitical rivals, the US is certainly earlier in the game in terms of Bitcoin adoption. Neither the European Union, China, Mexico nor Canada have taken huge steps towards the institutionalization of property.
China, the largest US trade partner in the distance and also the most popular geopolitical opponents, has made a strong stance against the owner, initially forbidden it straight before its approach is softened. China now allows mining operations but bitcoin use is strictly prohibited.
Generally, the government prefers to concentrate on its efforts in developing a retail central digital digital currency in the form of digital yuan.
The European Union, another major US trade partner, passed its markets in the framework of crypto-assets regulation in May 2023, which became full implementation of member states by the end of 2024.
While the EU has been ahead of the US in terms of the passage of concrete law, it offers less preferenced terms in the industry than expected of the US law that is currently transferring to Congress.
Crypto users’ penetration to the EU is expected to remain essentially motionless this year, and the popularity of cryptocurrency is low generally in the richest economies of the union. No member of the state has a bitcoin reserve.
Even in Crypto-Friendly Switzerland, who saw $ 52.4 billion in US service exports in 2024, there were limitations to endorsement and crypto adoption. On March 1, Swiss National Bank Martin Schlegel said Bitcoin was not suitable as a reserve of possession, citing stability, liquidity concerns and security risks.
Germany’s central bank chief Joachim Nagel also removed the idea of a Bitcoin reserve, while Canada’s prime minister Mark Carney had previously criticized Bitcoin as a bad form of money.
Related: What does the new Liberal PM Mark Carney mean for Crypto
South Korea is not ready to hold Bitcoin as a reserve of owner, with the Bank of Korea saying that BTC is a change and does not meet international funding funds standards.
Russia, for its part, allows crypto to be used in international repairs to prevent sanctions. The Central Bank is also preparing a three -year experiment to allow select investors to trade crypto. Some legal scholars in the country have suggested to establish a crypto fund consisting of properties seized in criminal proceedings, though Duma has not yet made up one.
Critics and Proponents Lambast “Strategic Bitcoin Reserve”
Critics have questioned the strategic value of the US Bitcoin Reserve and who benefits in the long run.
Cornell Economic Professor Eswar Prasad said, “This is not a strategic or intelligent idea but instead benefits Bitcoin holders while US taxpayers remain with the bill and expose the government to financial risks. The US government will be a major bitcoin price driver up and down.”
As mentioned by TLDR News, the point of most strategic reserves is that stock commodities are considered critical to the economic function of a country. Governments can also create them to stabilize the price of high demands. The US has a strategic oil and grain reserves, while China also has a strategic pork stock.
The bitcoin strategic reserve is not either of them, as there is no great need for Americans for Bitcoin, and Bitcoiners certainly does not want the price to remain stable.
George Selgin, a senior fellow and director emeritus at the Cato Institute’s Center for Monetary and Financial Alternatives, said the reserve’s purpose of helping the US national debt repayment was unrealistic.
“The plan’s Million-Coin Stash needs to be more than double in value during its 20-year handling to pay only the implicit cost of the plan. Secondly, the stockpile must be sold to realize the acquisitions, and you can bet that both bitcoin holders managed to get any new coins it got,” he said.
Its claims to serve as a digital fort Knox are “like the weakening” he said, because its gold content has not been provoking the dollar since Richard Nixon is president, which has removed the dollar from the gold standard.
Even bitcoiners took a crack in the reserve. Charles Edwards, founder of Bitcoin and Digital Asset Hedge Fund Capriole Investments, criticized the “Holding” reserve policy, calling it “frustration” and a “pork in lipstick.”
Source: Charles Edwards
The reserve even proven to be a non -starter thing for the price of Bitcoin, with a price action that remains relatively stable after Trump signed the Executive Order on March 6.
Like standing, the US is leading a career with no one else running. But things can change quickly. Right -Right Parties Respond to Creating Bitcoin Reserves It has been In the rise of European elections.
Brazil, a major economy in the western hemisphere, also has Weighing the possibility of a Bitcoin reserve.
Moreover, the US Bitcoin Reserve allows Treasury to buy Bitcoin as much as it can in a way that is not neutral that does not come at a cost to taxpayers. The entire effect of the reserve, and its influence on the adoption of Bitcoin, can still be felt.
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