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Cryptocurrency

Bitcoin Gains Support as the Primary US Crypto Reserve Asset

Arguing its position as “digital gold,” Coinbase and Gemini CEOs support Bitcoin as the only cryptocurrency for the U.S. reserve. Industry executives get ready to talk about the future of digital assets at the White House Crypto Summit as arguments over crypto reserves persist.

The CEOs of two top cryptocurrency exchanges, Coinbase and Gemini, are advocating Bitcoin as the only coin accepted into the US reserve. Tyler Winklevoss of Gemini and Brian Armstrong of Coinbase contend that only Bitcoin is a digital asset fit for such a classification.

“There is only one digital asset in the world right now that meets the standard: Bitcoin,” Winklevess said. Although he admits the worth of other cryptocurrencies, he argues that Bitcoin’s established store of value and reputation as “hard money” make it equivalent to gold.

“Bitcoin is likely the best option,” Coinbase’s Brian Armstrong said, stressing its simplicity and established reputation as digital gold.

Armstrong suggested a market cap-weighted index approach for people supporting a larger crypto reserve, therefore guaranteeing a fair and objective choice process instead than depending just on personal tastes.

Concurrent with this, Gemini and Tyler’s twin co-founder Cameron Winklevoss advised considering just Bitcoin and maybe Ethereum. He likened the possible inclusion of Ethereum to the U.S. keeping stockpiles of both gold and oil.

“maybe Ethereum. Digital oil and gold on computers. It fits America’s historical reserves of gold (Fort Knox, NY Fed, etc.) and oil (Strategic Petroleum Reserve),” he said. He advised against aggressively buying assets including XRP, ADA, and SOL, though, noting that accumulating them could be a preferable approach.

The argument on whether assets should be put into the Crypto Strategic Reserve also covers the consensus mechanisms behind these virtual currencies. Pointing to Bitcoin and Litecoin as significant contenders, Bitcoin company Jan3 CEO Samson Mow stressed that only Proof-of- Work (PoW) assets should be taken into account.

“To guarantee basic integrity and immutability, reserve assets have to be grounded on Proof of Work. Assets with Proof of Stake run the danger of outside control by individuals who own a sizable share,” Mow said.

Executives from Ripple and Cardano argued in spite of these objections about possible reserve inclusion of their respective tokens. Cardano founder Charles Hoskinson defended XRP’s legitimacy when critic Peter Schiff questioned its role, pointing that it is a well-known technology with ten years of resiliency and great community support.

In line with the larger plan put forth by Trump’s government, Ripple CEO Brad Garlinghouse has also long favored a multi-token approach for the U.S. crypto reserve.

All eyes are on the White House Crypto Summit set for March 7 as debates over the Crypto Strategic Reserve develop. The event will include business heavyweights including David Sacks, Trump’s AI and crypto policy advisor, and Bo Hines of the Working Group on Digital Assets. On the program are important subjects include stablecoin supervision, legislative regulations, and the larger future of digital assets in the American economy.

author avatar
Sagar Saini
A dedicated freelance blogger with a strong passion for finance and business, With a keen interest in the world of cryptocurrency.
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