{"id":15987,"date":"2025-03-04T02:02:14","date_gmt":"2025-03-04T02:02:14","guid":{"rendered":"https:\/\/dogewisperer.com\/?p=15987"},"modified":"2025-03-04T02:02:14","modified_gmt":"2025-03-04T02:02:14","slug":"just-words-arthur-hayes-criticizes-us-crypto-strategic-reserve-cites-funding-concerns","status":"publish","type":"post","link":"https:\/\/dogewisperer.com\/?p=15987","title":{"rendered":"\u2018Just Words\u2019: Arthur Hayes Criticizes US Crypto Strategic Reserve, Cites Funding Concerns"},"content":{"rendered":"
\n

Following US President Donald Trump\u2019s announcement of a Crypto Strategic Reserve, some industry figures have questioned the possibility of its establishment. Market watchers have also expressed concern about the longevity of the Trump-fueled market recovery.<\/p>\n

Arthur Hayes Slams Crypto Reserve Announcement<\/h2>\n

BitMEX founder Arthur Hayes expressed<\/a> skepticism about the recently announced US Crypto Strategic Reserve. In an X post, he deemed the US President\u2019s statement as \u201cjust words,\u201d questioning the feasibility of the reserve without the US Congress\u2019s approval.<\/p>\n

According to Hayes, the announcement didn\u2019t offer any new information to the public, as the government will need to \u201cget congressional approval to borrow money and\/or revalue the gold price higher. Without that they have no money to buy #bitcoin and #shitcoins,\u201d he stated.<\/p>\n

On Sunday, President Trump announced<\/a> the establishment of a \u201cUS Crypto Reserve\u201d to elevate the \u201ccritical industry after years of corrupt attacks by the Biden Administration.\u201d The news follows Trump\u2019s January 23 executive order, \u201cStrengthening American Leadership in Digital Financial Technology.\u201d<\/p>\n

The order directed the Presidential Working Group on Digital Assets to study the viability of a potential crypto reserve while affirming the new administration\u2019s support for blockchain technology and digital assets.<\/p>\n

On his social media platform, Truth Social, the US president revealed that the strategic reserve would incorporate some of the top cryptocurrencies made in the USA<\/a>, including Solana (SOL), Cardano (ADA), and XRP.<\/p>\n

In a second post, President Trump affirmed that Bitcoin (BTC) and Ethereum (ETH) would \u201cbe at the heart of the reserve,\u201d expressing his support for the top two cryptocurrencies by market capitalization.<\/p>\n

White House AI and Crypto Czar David Sacks shared the announcement, stating that it was \u201cconsistent with his week-one E.O. 14178\u201d and \u201cPresident Trump is keeping his promise to make the U.S. the \u2018Crypto Capital of the World.\u2019\u201d Additionally, Sacks announced \u201cmore to come\u201d at the upcoming<\/a> White House Crypto Summit.<\/p>\n

A Seized US Strategic Reserve \u2018Not As Bullish\u2019<\/h2>\n

Bybit\u2019s CEO, Ben Zhou, agreed<\/a> with Hayes\u2019 comment, replying \u201cexactly\u201d to his X post. Meanwhile, some market analysts shared concerns about funding the US digital asset reserve.<\/p>\n

Ali Martinez noted<\/a> that the strategic reserve \u201cwouldn\u2019t become a reality overnight\u201d as Congress must \u201cdraft, debate, and pass legislation.\u201d The analyst added that funding sources would need to be allocated, and agencies like the Securities and Exchange Commission (SEC), the Commodity Futures Trading Commission (CFTC), and the Department of the Treasury must establish a compliance framework.<\/p>\n

Martinez questioned what would happen if the legislation didn\u2019t pass<\/a> Congress, pondering whether the market pump would \u201cbe undone\u201d and reinforce the recently seen bearish sentiment.<\/p>\n

IG market analyst Tony Sycamore stated<\/a> on X, \u201cWhile this announcement has significantly boosted prices, it has also raised concerns.\u201d According to the analyst, funding from digital asset purchases would \u201clikely come from taxpayers,\u201d as the government carries $36 trillion in debt.<\/p>\n

\u201cAlternatively, they might be sourced from the substantial amount of crypto the government has confiscated over the years from criminal activities, including the 144,000 Bitcoin seized from Silk Road in 2013,\u201d he also suggested.<\/p>\n

However, Sycamore considers a strategic reserve made of the US-seized crypto assets \u201cisn\u2019t anywhere near as bullish as it simply represents a transfer between accounts rather than new buying entering the market.\u201d<\/p>\n

Nonetheless, some community members argued<\/a> that Trump\u2019s announcement contains \u201ca lot of \u2018new here\u2019,\u201d since the US President is \u201cessentially signaling to every country in the world that a crypto arms race is starting and the most important assets are BTC and ETH.\u201d<\/p>\n

\"crypto,<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

Following US President Donald Trump\u2019s announcement of a Crypto Strategic Reserve, some industry figures have questioned the possibility of its establishment. Market watchers have also expressed concern about the longevity of the Trump-fueled market recovery. Arthur Hayes Slams Crypto Reserve Announcement BitMEX founder Arthur Hayes expressed skepticism about the recently announced US Crypto Strategic Reserve. […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"iawp_total_views":0,"footnotes":""},"categories":[2],"tags":[3,4,5],"class_list":["post-15987","post","type-post","status-publish","format-standard","hentry","category-news","tag-crypto","tag-doge","tag-news"],"_links":{"self":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/15987","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=15987"}],"version-history":[{"count":0,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/15987\/revisions"}],"wp:attachment":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=15987"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=15987"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=15987"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}