Robert F. Kennedy Jr., an independent presidential candidate in the United States, announced a bold plan during an interview with Scott Melker.
Kennedy stated that, if elected, he would ensure the U.S. government holds Bitcoin reserves equivalent to its gold holdings. Currently, the U.S. gold reserves are valued at approximately $615 billion.
US Government to Become the Largest BTC Holder?
The initiative, if implemented, would make the United States the world’s largest Bitcoin holder. The U.S. has the largest gold reserves globally, with 8,133.46 metric tonnes. This is nearly equal to the combined reserves of Germany, Italy, and France.
Kennedy plans to acquire Bitcoin during his first term, aiming to surpass leading Bitcoin holders like MicroStrategy and BlackRock, which own 226,331 BTC and 334,000 BTC, respectively.
“Bitcoin is an honest currency,” Kennedy asserted. “It’s based on proof-of-work, with everything recorded on a decentralized ledger. This transparency and decentralization are crucial for democracy.”
Kennedy expanded on his idea in the YouTube conversation moderated by Scott Melker and included Caitlin Long, CEO of Custodia Bank. He recommended that to match the country’s gold reserves, the U.S. Treasury start purchasing Bitcoin and progressively increase its holdings.
A new class of US Treasury bills anchored by a basket of hard currencies, such as gold, silver, platinum, and bitcoin, is one of his plans. The first year’s anchoring would be 1%, followed by 2% in the second year, and 100% in the final year.
Kennedy also pledged to remove capital gains taxes on Bitcoin to advance the cryptocurrency sector in the United States. He emphasised that Bitcoin’s decentralised structure, which lacks a central authority, represents the notion of decentralisation and highlighted its importance for the survival of democracy.
The Growing Support of BTC in the Race for the US Presidential Election
This is not the first time that a presidential candidate went bullish on Bitcoin to win the votes. Donald Trump who was known for his take against cryptocurrencies has recently become very vocal in support of Bitcoin. Kennedy Jr is taking a step ahead and makes sure he gives a strong competition to Trump.
Kennedy’s plan to match Bitcoin reserves with US gold reserves is a ground-breaking concept that has the potential to trade the monetary industry. Kennedy desires to establish the USA as a main force in the cryptocurrency space by promoting massive investment in Bitcoin and proposing supportive policies. This move is expected to foster greater adoption and integration of digital currencies into the national economy.
Is Holding $615B Bitcoin Possible?
Purchasing $615 billion worth of Bitcoin in one go is impractical. The total supply of Bitcoin is around 19 million BTC, and the market capitalization is about $1.26 trillion. Buying such a large amount would require more than the available supply at the current price, causing significant price spikes and liquidity issues.
Kennedy aims for a steady increase in US Bitcoin reserves to prevent market disruption. By taking a steady approach to acquisitions, the Bitcoin market will be kept stable by avoiding sharp price rises and liquidity shortages.