The firstborn cryptocurrency has found one other ally in the standard financial sector after a respected global investment company affirmed its support for making Bitcoin a strategic reserve.
The backing of VanEck, a respected name within the investment sector, in Bitcoin shows the coin’s growing appeal even to traditional financial players, a remarkable milestone that may benefit the entire crypto space.
Bitcoin As A Strategic Reserve
Well-known asset manager VanEck announced that it’s throwing its support to Bitcoin, saying that it can advocate for the plan of US President-elect Donald Trump to show the crypto right into a national strategic reserve.
Matthew Sigel, head of digital asset research at VanEck, made the official announcement of the investment firm’s stance on the concept, committing himself to champion Trump’s proposal.
FOR IMMEDIATE RELEASE:
VanEck Endorses Strategic Bitcoin Reserve.
No need for ‘sources’—we’ll just inform you ourselves. https://t.co/ZO28dqiBqC
— matthew sigel, recovering CFA (@matthew_sigel) November 19, 2024
VanEck will join fellow international asset manager BlackRock within the growing supporters of the US Strategic Bitcoin Reserve, one other positive development on the intensifying discussion of the role of digital assets in American economic policy.
It will possibly be recalled that in 2017, the worldwide asset management company was the pioneer in pushing for a future-based BTC exchange-traded fund (ETF) within the country.
As of writing, VanEck holds over 13,000 BTC with an estimated value of over $1.2 billion.
Trump’s Vision On Crypto
In a campaign last July, Trump unveiled his vision of creating the US probably the most successful nation within the cryptocurrency sector, announcing his plan to ascertain a “strategic national Bitcoin stockpile” within the country.
Trump said that he plans to make it a policy to maintain all the Bitcoin the US government “currently holds or acquires into the longer term”, adding that this BTC stockpile will change into the core of the strategic national crypto reserve.
During his campaign, Trump promised cryptocurrency players and investors that he would champion the sector and advocate for its deregulation. The complete crypto space is now counting on the incoming President to deliver on this commitment during his administration.
Image: Securities.io
BTC Reserve Gaining Support
Earlier this week, Satoshi Motion Fund (SAF) co-founder and CEO Dennis Porter confirmed that premier asset manager BlackRock will back the strategic Bitcoin reserve concept.
Porter believes that Trump’s government would push for the crafting of an executive order that may establish the BTC reserve, providing an optimistic outlook on the longer term of the alpha crypto.
He added that step one to creating this reserve a reality is appointing a “pro-Bitcoin Treasury Secretary” who can initiate the creation of the strategic reserve.
Furthermore, Wyoming Republican Senator Cynthia Lummis introduced proposed laws that may be key to the strategic Bitcoin reserve concept.
Lummis urged the US Congress to pass the Boost Innovation, Technology, and Competitiveness through Optimized Investment Nationwide (BITCOIN) Act.
If Lummis’ bill is enacted, all of the Bitcoin owned by the American government is to be preserved and never sold. Current estimates showed that the US government holds 69,370 BTC with a price of $6.4 billion.
Featured image from Reddit, chart from TradingView