Donald Trump has pledged to create a "strategic national Bitcoin reserve" and also promised that the government will never sell seized Bitcoin. At the Bitcoin Conference in Nashville, Trump also outlined a comprehensive crypto policy, criticized the current administration, and vowed to form a Bitcoin advisory council if elected. Meanwhile, Hong Kong Legislative Council Member Johnny Ng is also exploring incorporating Bitcoin into the region's financial reserves, while Cantor Fitzgerald launched a Bitcoin financing business. Additionally, the University of Wyoming will open a Bitcoin Research Institute to improve academic research on Bitcoin.
Trump Vows to Protect Bitcoin
Former U.S. President Donald Trump has pledged to establish a "strategic national Bitcoin reserve" and also promised that the government will "never sell" the Bitcoin it has seized. This declaration by Trump was made during a speech at the Bitcoin Conference in Nashville to solidify his support among crypto enthusiasts and boost his campaign fundraising.
In his speech to over 3,000 attendees, Trump placed a lot of emphasis on how important it is for the U.S. to lead in Bitcoin mining and minting, and outlined a comprehensive crypto policy that includes stablecoin regulation and the right to self-custody BTC. He even compared the potential of crypto to the steel industry of a century ago and predicted it could one day surpass gold in value.
Donald Trump speaking at the Bitcoin Conference (Source: Firstpost)
Additionally, Trump criticized the current administration, and warned that a Democratic victory in the upcoming election would be detrimental to the crypto industry. He vowed to fire SEC Chair Gary Gensler, a move that was met with enthusiastic applause, and announced plans to form a Bitcoin and crypto advisory council if he gets elected.
This speech was a major shift for Trump who previously criticized digital assets but now becomes the first president to attend a Bitcoin event. During his time on stage, he also acknowledged some well known crypto figures like the Winklevoss twins and Michael Saylor.
Trump's declaration as the crypto industry's candidate has reshaped political alignments in the sector as he is now attracting support from people who previously backed Democratic candidates.
In contrast, the Biden administration has not courted crypto supporters much, and President Biden's earlier dismissal of Trump's NFT buyers as "suckers" also alienated the crypto community. With Vice President Kamala Harris potentially stepping up as the Democratic nominee, there is a push among some lawmakers for her to adopt a more crypto-friendly approach, though no big changes have been seen just yet.
Hong Kong Also Eyes Bitcoin for Financial Reserves
Trump is not alone in his ambitions for Bitcoin. Hong Kong Legislative Council Member Johnny Ng announced plans to explore the feasibility and benefits of incorporating Bitcoin into the region's financial reserves.
In a post on X, Ng talked about the growing global recognition of Bitcoin, which is often referred to as "digital gold," for its perceived value and potential as a hedge against inflation. He believes it is very important to consider Bitcoin in strategic fiscal reserves, and suggests that its inclusion could improve Hong Kong’s economic framework under appropriate regulatory conditions.
Ng's comments come at a time when Bitcoin and Web3 technologies are gaining a lot of traction worldwide. The decentralized nature of Bitcoin, coupled with its limited supply, has made it a very valuable asset for many investors. Ng’s plan is part of a broader effort to accelerate the development of the Web3 ecosystem in Hong Kong.
Web3 represents the next generation of internet technologies, which focuses more on decentralization, blockchain, and peer-to-peer interactions. Ng believes that Hong Kong is at a pivotal stage in regulatory compliance and industry development, which could lead to a more open and innovative market environment.
He still acknowledged the need for thorough research and sticking to existing regulations to ensure the strategic and secure integration of Bitcoin into Hong Kong’s fiscal reserves.
Ng's proposal was partly inspired by Donald Trump's recent speech at the Bitcoin 2024 conference. Beyond Bitcoin, Ng envisions a robust and dynamic Web3 ecosystem in Hong Kong and urged the government to prioritize technological innovation and create a supportive environment for Web3 development.
Cantor Fitzgerald Enters Bitcoin Market
Cantor Fitzgerald also has plans for Bitcoin. The financial services firm’s CEO Howard Lutnick announced the launch of a Bitcoin financing business at the Bitcoin Conference on Saturday. Lutnick stated that the firm will start with $2 billion in lending and plans to expand this facility in $2 billion increments as needed.
This new lending facility is not Cantor Fitzgerald's first foray into the crypto space. The firm already conducts business with stablecoin issuer Tether and owns a large amount of BTC, according to Lutnick. As it is known as one of the largest bond brokerages on Wall Street, Cantor Fitzgerald also handles U.S. Treasury trading with Tether.
Wyoming University Unveils Bitcoin Research Institute
The University of Wyoming is set to launch the UW Bitcoin Research Institute in August to produce high-quality peer-reviewed studies about Bitcoin. Bradley Rettler, a Bitcoin activist and Associate Professor at the university, announced the new institute on X on July 28 and will serve as its director.
Rettler called the current state of Bitcoin research poor and firmly believes there is a need for more reliable publications to properly inform the public about Bitcoin.
Rettler specifically referred to a 2018 study by University of Hawaii Professor Camilo Mora that claimed Bitcoin emissions could increase global warming by 2048. Rettler pointed out some of the study's flaws, like the fact that it failed to consider the difficulty adjustment and block size cap. He pointed out that these kinds of mistakes influence journalism and policy, which proves just how crucial accurate academic input is.
Andrew M. Bailey, lead author of "Resistance Money: A Philosophical Case for Bitcoin," will be one of the institute's professors. The Bitcoin Research Institute will open in August with the start of the Fall semester and will host annual summer workshops, offer academic prizes, and run weekly seminars. As a nonprofit, it accepts Bitcoin donations to support its research, and it will not sell any Bitcoin received.
Wyoming is fast becoming a prominent Bitcoin state, partly because of pro-Bitcoin figures like Senator Cynthia Lummis and Caitlin Long, the CEO of Custodia Bank. Lummis announced a strategic Bitcoin Reserve bill at the Bitcoin 2024 conference, proposing that the US buy 5% of the 21 million Bitcoin that will ever circulate to reduce national debt. In February of 2023, Wyoming lawmakers also passed a bill protecting digital asset private keys from state court disclosure and provided a legal framework for decentralized autonomous organizations.
