Bitcoin Gains VanEck’s Official Support As Strategic Reserve
The firstborn cryptocurrency has found another ally in the traditional financial sector after a respected global investment company affirmed its support for making Bitcoin a strategic reserve.
The backing of VanEck, a respected name in the investment sector, in Bitcoin shows the coin’s growing appeal even to traditional financial players, a remarkable milestone that could benefit the whole crypto space.
Bitcoin As A Strategic Reserve
Well-known asset manager VanEck announced that it is throwing its support to Bitcoin, saying that it will advocate for the plan of US President-elect Donald Trump to turn the crypto into a national strategic reserve.
Matthew Sigel, head of digital asset research at VanEck, made the official announcement of the investment firm’s stance on the idea, committing himself to champion Trump’s proposal.
FOR IMMEDIATE RELEASE:
VanEck Endorses Strategic Bitcoin Reserve.
No need for ‘sources’—we’ll just tell you ourselves. https://t.co/ZO28dqiBqC
— matthew sigel, recovering CFA (@matthew_sigel) November 19, 2024
VanEck will join fellow international asset manager BlackRock in the growing supporters of the US Strategic Bitcoin Reserve, another positive development on the intensifying discussion of the role of digital assets in American economic policy.
It can be recalled that in 2017, the global asset management company was the pioneer in pushing for a future-based BTC exchange-traded fund (ETF) in the country.
As of writing, VanEck holds over 13,000 BTC with an estimated value of over $1.2 billion.
Trump’s Vision On Crypto
In a campaign last July, Trump unveiled his vision of making the US the most successful nation in the cryptocurrency sector, announcing his plan to establish a “strategic national Bitcoin stockpile” in the country.
Trump said that he plans to make it a policy to keep all of the Bitcoin the US government “currently holds or acquires into the future”, adding that this BTC stockpile will become the core of the strategic national crypto reserve.
During his campaign, Trump promised cryptocurrency players and investors that he would champion the sector and advocate for its deregulation. The entire crypto space is now counting on the incoming President to deliver on this commitment during his administration.
BTC Reserve Gaining Support
Earlier this week, Satoshi Action Fund (SAF) co-founder and CEO Dennis Porter confirmed that premier asset manager BlackRock will back the strategic Bitcoin reserve concept.
Porter believes that Trump’s government would push for the crafting of an executive order that would establish the BTC reserve, providing an optimistic outlook on the future of the alpha crypto.
He added that the first step to making this reserve a reality is appointing a “pro-Bitcoin Treasury Secretary” who can initiate the creation of the strategic reserve.
Moreover, Wyoming Republican Senator Cynthia Lummis introduced proposed legislation that would be key to the strategic Bitcoin reserve concept.
Lummis urged the US Congress to pass the Boost Innovation, Technology, and Competitiveness through Optimized Investment Nationwide (BITCOIN) Act.
If Lummis’ bill is enacted, all the Bitcoin owned by the American government is to be preserved and not sold. Current estimates showed that the US government holds 69,370 BTC with a value of $6.4 billion.
Featured image from Reddit, chart from TradingView