VanEck proposes that the U.S. could reduce its national debt by $42 trillion by adopting Bitcoin as a strategic reserve asset, potentially offsetting 35% of liabilities by 2049. The plan suggests accumulating one million Bitcoins over five years, leveraging existing government holdings and reallocating gold reserves, without requiring taxpayer funding. This initiative aligns with a bill from Senator Cynthia Lummis and aims to position Bitcoin as a dominant global asset, potentially representing 18% of the world's financial assets by mid-century.
The U.S. could cut its national debt by 35% by 2049 by establishing a reserve of 1 million Bitcoin, according to VanEck. This scenario assumes Bitcoin will grow at a 25% annual rate, reaching $42.3 million, while national debt rises to $119.3 trillion. The proposal, linked to Senator Lummis, suggests utilizing seized Bitcoin and selling part of gold reserves to finance the reserve without taxpayer funds.
A proposal by Senator Lummis for the U.S. government to acquire 1 million Bitcoin could lead to short-term price volatility, with expectations of a price pump followed by a rotation back. As Bitcoin consolidates around $100,000, its dominance is expected to decline, paving the way for altcoins to gain traction. Analysts believe Bitcoin will remain a key asset for institutions, with strong demand likely to sustain its price despite potential dips.
Seems like the connection with the server has been lost. It can be due to poor or broken network. Please hang on while we're trying to reconnect...
Oh snap! Failed to reconnect with the server. This is typically caused by a longer network outage, or if the server has been taken down. You can try to reconnect, but if that does not work, you need to reload the page.
Oh man! The server rejected the attempt to reconnect. The only option now is to reload the page, but be prepared that it won't work, since this is typically caused by a failure on the server.
