{"id":16013,"date":"2025-03-04T07:16:31","date_gmt":"2025-03-04T07:16:31","guid":{"rendered":"https:\/\/dogewisperer.com\/?p=16013"},"modified":"2025-03-04T07:16:31","modified_gmt":"2025-03-04T07:16:31","slug":"trumps-bitcoin-reserve-shouldnt-include-altcoins-miscalculation-says-bitwise","status":"publish","type":"post","link":"https:\/\/dogewisperer.com\/?p=16013","title":{"rendered":"Trump\u2019s Bitcoin Reserve Shouldn\u2019t Include Altcoins \u2013 \u2018Miscalculation,\u2019 Says Bitwise"},"content":{"rendered":"
\n

On March 2, US President Donald Trump announced<\/a> the inclusion of Bitcoin, Ethereum, XRP, Solana, and Cardano in a newly formed Crypto Strategic Reserve, an initiative designed to integrate these digital assets into the country\u2019s broader economic and monetary plans. The immediate market reaction was significant: prices for many of the mentioned cryptocurrencies spiked, reflecting both investor excitement and speculation.<\/p>\n

Nonetheless, the decision to add a variety of altcoins alongside Bitcoin quickly ignited debate among industry leaders and financial experts, many of whom questioned the wisdom and long-term ramifications of such a broad approach.<\/p>\n

Bitcoin, Not Altcoins<\/h2>\n

Criticism was swift from Jeff Park, Head of Alpha Strategies at Bitwise, who described<\/a> Trump\u2019s move as \u201ca huge political miscalculation\u201d and warned that of the risk the assumption of inside dealing.\u201d Park further elaborated that BTC\u2019s unique status as the premier digital store of value<\/a> deserved standalone consideration, cautioning that political optics could shift unfavorably if the Strategic Reserve featured cryptocurrencies with uncertain regulatory and technological foundations.<\/p>\n

Park stated: \u201cHuge political miscalculation by Trump in underestimating just how crucial it was for the Strategic Reserve to focus solely on Bitcoin. Sad! Political opportunities are calculated by marginal wins of new votes vs loss of old votes. This is why Elizabeth Warrens\u2019 anti crypto army made no sense. Gain 0, lose 100. Trump is about to understand in crypto land what Bitcoin\u2014and only Bitcoin\u2014represents.\u201d<\/p>\n

He also highlighted the potential for voter backlash, drawing parallels to past missteps by politicians who attempted to court new constituencies without fully weighing the cost of alienating existing supporters. \u201cBig problem here is optics. When you include altcoins whose use case is too nascent to be deemed \u2018nationally strategic,\u2019 you risk the assumption of inside dealing even if it were patently false. This is politically negative, even among a subset of crypto enthusiasts,\u201d he added.<\/p>\n

Hunter Horsley, CEO of Bitwise, concurred<\/a> with Park, stating on X that he had initially \u201cimagined a Strategic Reserve would be just Bitcoin\u201d and that \u201cBitcoin is the undisputed store of value for the digital age.\u201d Although Horsley noted the administration\u2019s openness to crypto as a positive step, he argued that the term \u201creserve\u201d implies a focus on stability and global recognition\u2014two features that have largely been attributed to BTC rather than newer assets.<\/p>\n

By adding altcoins, he suggested, the White House might undermine the underlying principle of having a national reserve in the first place. \u201cMany crypto assets have merits, but what we\u2019re talking about here isn\u2019t a US investment portfolio<\/a> \u2014 we\u2019re talking about a reserve, and BTC is the undisputed store of value for the digital age. Of course, I\u2019m grateful the new administration is so constructive on the space. Look forward to learning more about the thinking here,\u201d he remarked.<\/p>\n

Notably, other leading figures from the crypto industry which can also not be considered \u201cBitcoin maximalists,\u201d agree with both Bitwise execs. Brian Armstrong, CEO of Coinbase, also suggested <\/a>that \u201cjust Bitcoin would probably be the best option\u2014simplest, and a clear story as successor to gold,\u201d while acknowledging an alternative: a market-cap-weighted index for broader crypto exposure. \u201cIf folks wanted more variety, you could do a market cap weighted index of crypto assets to keep it unbiased But probably option #1 is easiest,\u201d Armstrong stated.<\/p>\n

Others approached Trump\u2019s announcement from a more philosophical angle. David Marcus, CEO and co-founder of Lightspark, bluntly remarked, \u201cMixing the only code-driven asset with human-run ones is a mistake,\u201d signaling a belief that Bitcoin\u2019s decentralized, algorithmic approach to supply and governance is crucial for a true reserve asset.<\/p>\n

In turn, longtime gold advocate and Bitcoin skeptic Peter Schiff delivered<\/a> a surprising partial endorsement for Bitcoin, saying, \u201cWe have a gold reserve, and Bitcoin is digital gold. But what\u2019s the rationale for an XRP reserve?Why the hell would we need that?\u201d<\/p>\n

At press time, BTC traded at $91,022.<\/p>\n

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

On March 2, US President Donald Trump announced the inclusion of Bitcoin, Ethereum, XRP, Solana, and Cardano in a newly formed Crypto Strategic Reserve, an initiative designed to integrate these digital assets into the country\u2019s broader economic and monetary plans. The immediate market reaction was significant: prices for many of the mentioned cryptocurrencies spiked, reflecting […]<\/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-16013","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\/16013","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=16013"}],"version-history":[{"count":0,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/16013\/revisions"}],"wp:attachment":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=16013"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=16013"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=16013"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}