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At the Bitcoin 2024 conference in Nashville, former President Donald Trump announced a bold proposal: if re-elected, he would ensure that the U.S. government never sells its bitcoin holdings. However, Trump stopped short of suggesting the establishment of a formal federal reserve of digital currency.
“For too long, our government has violated the cardinal rule that every bitcoiner knows by heart: Never sell your bitcoin,” Trump stated during his keynote speech. His remarks were part of his effort to appeal to America’s crypto enthusiasts and capture their votes and campaign contributions.
Trump’s pledge to maintain the government’s current bitcoin holdings was a more conservative approach compared to other proposals at the conference. Third-party candidate Robert F. Kennedy Jr., for example, proposed creating a reserve of 4 million bitcoins, starting with the government’s current holdings from criminal seizures. Similarly, Sen. Cynthia Lummis, R-Wy., introduced legislation to amass a federal reserve of 1 million bitcoins over five years, intended to help reduce national debt.
Trump’s speech briefly caused a dip in bitcoin prices, but the cryptocurrency rebounded and was up slightly by the end of the day. Throughout his address, Trump contrasted his stance with the Biden administration’s approach to crypto regulation, which he criticized as “repressive.”
On the campaign trail, Trump has emphasized his intention to dismantle what he calls the “anti-crypto crusade” of President Joe Biden and Vice President Kamala Harris. Trump also promised to fire Gary Gensler, the SEC chairman known for his strict regulatory stance on crypto, and to establish a “bitcoin and crypto presidential advisory council.”
Despite his previous dismissal of bitcoin, including remarks calling it a “scam” and a threat to the dollar, Trump’s views have notably shifted. The former president’s new position aligns with his campaign’s efforts to court the growing crypto sector. He has already raised over $4 million in cryptocurrencies, with significant contributions from notable figures such as Tyler and Cameron Winklevoss.
In contrast, Democratic figures like Rep. Wiley Nickel and Rep. Ro Khanna have urged for a bipartisan approach to crypto regulation, emphasizing the need for thoughtful policies rather than partisan disputes. Meanwhile, Vice President Kamala Harris’s team is exploring ways to engage with the crypto community, potentially signaling a shift in Democratic policy on the issue.
Trump’s newfound support for bitcoin and his campaign’s crypto-friendly stance highlight the increasing influence of digital assets in U.S. politics, setting the stage for a significant debate in the upcoming election.