Trump open to expanding US Bitcoin reserve

Washington, Aug 20 (IANS) US President Donald Trump has said his administration is open to accumulating more Bitcoin and other cryptocurrencies as it presses Congress to enact new rules designed to secure America’s position as the global centre of digital finance.

Asked whether the administration planned to acquire substantial quantities of Bitcoin or other digital assets, Trump said the possibility was under consideration.

“Well, it’s been talked about,” he said at a White House gathering of financial regulators and cryptocurrency industry leaders.

Trump said he would rely on recommendations from Securities and Exchange Commission Chairman Paul Atkins, Commodity Futures Trading Commission Chairman Michael Selig and other officials.

“I think I’d probably rely on Paul and the whole group for that. He’ll make a decision; you guys will make a decision, and you’ll let me know, but certainly it’s been talked about,” he said.

The President argued that cryptocurrency had helped the US currency, although he offered no supporting data during the exchange.

“It’s taken a lot of pressure off the dollar; it’s been very, very good for the dollar,” Trump said. “And I think if you came in with recommendations, two of you, if you came in with some recommendations, I would certainly listen; it seems to be a pretty big subject.”

Trump said he had already established a US Strategic Bitcoin Reserve, making the cryptocurrency a permanent Treasury asset. He also cited the creation of a separate Digital Asset Stockpile for other cryptocurrencies.

“I established a United States Strategic Bitcoin Reserve making Bitcoin a permanent asset of the United States Treasury, which has turned out incredibly well,” he said. “I also created the United States Digital Asset Stockpile to hold custody of all other digital assets.”

Trump urged Congress to follow those executive actions by passing the CLARITY Act, which is intended to establish a regulatory structure for digital assets.

“This landmark structure legislation,” he said, “will keep us ahead of China, keep us ahead of everyone else.”

Coinbase co-founder Brian Armstrong said the legislation would make the administration’s cryptocurrency policies durable beyond Trump’s presidency. He pointed to a vote expected on September 15.

“This would make all of the progress that this administration has made durable into the future, so it could survive for decades and decades to come,” Armstrong said.

Armstrong said some large banks could oppose the measure because of competition from cryptocurrency companies, while others had endorsed it. He said supporters hoped to secure more than 60 votes.

“There’s hundreds of pages of changes that have come in from the Democrat side as well,” Armstrong said. “It’s a true bipartisan compromise and, yeah, it’s a great piece of — it’s a great work product.”

Selig said US regulators would continue advancing the administration’s agenda while Congress considered the legislation.

“Clear rules create confidence; confidence attracts investment; and investment creates jobs, strengthens our markets and keeps the world’s best talent building here in America,” he said.

–IANS

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