{"id":34265,"date":"2025-06-29T16:31:35","date_gmt":"2025-06-29T16:31:35","guid":{"rendered":"https:\/\/dogewisperer.com\/?p=34265"},"modified":"2025-06-29T16:31:35","modified_gmt":"2025-06-29T16:31:35","slug":"economist-warns-trumps-bitcoin-bet-could-weaken-the-dollar-details","status":"publish","type":"post","link":"https:\/\/dogewisperer.com\/?p=34265","title":{"rendered":"Economist Warns Trump\u2019s Bitcoin Bet Could Weaken The Dollar\u2013Details"},"content":{"rendered":"
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US President Donald Trump\u2019s growing support for Bitcoin has drawn sharp criticism from economist Peter Schiff, who warns that the move could weaken the dollar.<\/p>\n

Schiff<\/a> posted on X that exchanging dollars for Bitcoin \u201cputs added pressure on the dollar\u201d and called spending on the cryptocurrency \u201charmful to our country.\u201d<\/p>\n

According to reports, Trump believes Bitcoin lifts jobs and eases strain on the dollar, but Schiff says the opposite may be true.<\/p>\n

Trump And Bitcoin: Impact On Dollar Demand<\/h2>\n

According to Peter Schiff, when people swap US dollars for Bitcoin<\/a>, they pull demand away from the world\u2019s main reserve currency.<\/p>\n

Bitcoin\u2019s price has jumped more than 30% this year, and some see it as a shield against inflation. Schiff argues that those dollar sales chip away at the greenback\u2019s standing.<\/p>\n

He warned that the broader economy could feel the effects if the trend grows.<\/p>\n

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Pandering to his donors and to promote his family business, Trump claimed that Bitcoin \u201ctakes pressure off the dollar and is good for the country.\u201d But selling dollars to buy Bitcoin puts added pressure on the dollar. Also, wasting resources on Bitcoin is harmful to our country.<\/p>\n

\u2014 Peter Schiff (@PeterSchiff) June 28, 2025<\/a><\/p>\n<\/blockquote>\n

Government And State Reserves<\/h2>\n

Based on reports, the federal government plans no direct sales of dollars. Instead, it will use funds from criminal and civil forfeiture to build a Strategic Bitcoin Reserve.<\/p>\n

At least 10 states, including Texas and Florida, are following suit. They\u2019re setting aside capital to buy and hold crypto on their balance sheets. That shift means government units could end up tied to a volatile asset.<\/p>\n


\nTrump Media\u2019s Crypto Strategy<\/p>\n

US President Donald Trump\u2019s private venture, Trump Media,<\/a> has raised $2.3 billion through stock offerings and convertible notes to fuel a Bitcoin treasury.<\/p>\n

In May, a White House event hosted top holders of the \u201cTRUMP\u201d meme coin. Attendees spent nearly $150 million for seats at a dinner.<\/p>\n

Critics say the family has already netted over $1 billion from its crypto ventures. Those figures show how deeply the campaign is courting the crypto community.<\/p>\n

Political And Financial Risks<\/p>\n

Peter Schiff suggests that Trump\u2019s crypto push<\/a> is less about monetary policy and more about wooing wealthy donors.<\/p>\n

He described the fundraising events as \u201ca ploy to attract crypto-based support.\u201d At the same time, volatility in Bitcoin markets poses real financial risk. A sudden price drop could leave any reserve tied up in losses rather than gains.<\/p>\n

Recent Investment In DeFi<\/p>\n

World Liberty Financial<\/a>, another Trump family business, secured a $100 million investment from Aqua\u202f1 as part of plans to expand in decentralized finance.<\/p>\n

Trump Jr. has said that banking cut\u2011offs forced the family toward cryptocurrencies, but many see the move as a bid for fresh funds. That deal highlights how the family is betting big on emerging crypto sectors.<\/p>\n

Featured image from MediaNama, chart from TradingView<\/em><\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

US President Donald Trump\u2019s growing support for Bitcoin has drawn sharp criticism from economist Peter Schiff, who warns that the move could weaken the dollar. Schiff posted on X that exchanging dollars for Bitcoin \u201cputs added pressure on the dollar\u201d and called spending on the cryptocurrency \u201charmful to our country.\u201d According to reports, Trump believes […]<\/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-34265","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\/34265","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=34265"}],"version-history":[{"count":0,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/34265\/revisions"}],"wp:attachment":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=34265"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=34265"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=34265"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}