Economic expert Peter Schiff proposes strategic Bitcoin strategy if former United States President Donald Trump is re-elected. 
$81,605 He criticized the reserve plan. Many industry leaders and some lawmakers welcome this proposal, but Schiff stated that this step could harm the US economy.
Dangerous Bitcoin Reserve Cycle
Schiff expressed concerns about heavily pushing BTC as an investment vehicle. He stated that if the US Government creates a Bitcoin reserve and purchases 1 million BTC, it can purchase more than this amount. He said this initial purchase would push the Bitcoin price to a new high, leading to early investors making huge gains.
Schiff suggested that after this increase, investors could convert their profits into cash by selling their BTC. He stated that this situation could cause the US government’s BTC assets to decrease rapidly. He stated that the government could print more dollars to keep prices stable and that this is unsustainable.
“If the US government bought 1 million Bitcoins, it could push the price very high and many investors could make huge profits.” –Peter Schiff
Political and International Developments
Bitcoin reserve plans gained support in Congress when Senator Cynthia Lummis introduced a bill on this issue. President-Elect Trump reiterated his plans for Bitcoin, sparking hopes in the industry. Countries such as Bhutan increased their Bitcoin reserves to over $1 billion.
On the other hand, while some industry leaders supported the BTC reserve plan, Schiff continued his support for Gold. Schiff stated that gold has a more solid stance as a precious metal and has stood the test of time.
Bitcoin’s current price has reached $87,300, setting a new all-time high and is up 10% in 24 hours.
While Bitcoin reserve plans lead to various discussions in the economic and political fields, different opinions and strategies continue to come to the fore.
Disclaimer: The information contained in this article does not constitute investment advice. Investors should be aware that crypto currencies carry high volatility and therefore risk, and should carry out their transactions in line with their own research.
