United States Foregoes Bitcoin Purchases Amid Debt Issues, as Perceived by Arthur Hayes
Rewritten Article:
Artur Hayes, the co-founder of BitMEX, casts doubt on the possibility of the US significantly boosting its Bitcoin reserves, despite recent efforts to stockpile the cryptocurrency strategically.
In a May interview, Hayes hinted that with the US already holding approximately $18 billion worth of Bitcoin (around 198,012 coins), an increase in holdings seems improbable. He explained, "The U.S. is a deficit country," implying it might struggle to amass more Bitcoin. He further added that the only way America could maintain a strategic reserve would be by refraining from selling the Bitcoin it's already got.
Hayes also dismisses the idea of the US government openly purchasing Bitcoin, stating that any elected official announcement would be met with skepticism due to the Bitcoin bros stereotype. In March, Donald Trump signed an executive order to establish a Bitcoin reserve, mainly comprised of Bitcoin confiscated from criminals.
Crypto leaders, like Sergej Kunz, the co-founder of 1inch, share Hayes' sentiments. Kunz believes that if the US started purchasing Bitcoin, other countries would soon follow suit, causing a rush for the asset.
Hayes remains optimistic about Bitcoin's supremacy over altcoins. He anticipates Bitcoin to enter altcoin season in 2021, potentially increasing Bitcoin's dominance to around 70%. Currently, the Bitcoin dominance stands at 64.78%, demonstrating an increase since the year's beginning.
For more insights, read "Arthur Hayes at TOKEN2049: Bitcoin Price Could Rise to $1M."
Enrichment Integration:
Recent developments and expert analyses indicate the US has been actively pursuing an expansion of its Bitcoin reserves through policy initiatives. These efforts are aimed at securing the government's Bitcoin holdings through a strategic reserve, estimated to be around 200,000 Bitcoin (nearly 1% of total supply). Although the US has committed to holding onto its Bitcoin reserves, there has been a 12% decline in global government Bitcoin reserves reported in April, according to a CoinGecko report, which could suggest conflicting figures regarding current holdings. The US's strategic Bitcoin accumulation is supported by policy frameworks that could enable future acquisitions.
- Artur Hayes, the co-founder of BitMEX, questioningly pointed out that the United States' increased Bitcoin reserves, despite recent attempts, might remain unlikely due to its deficit status.
- Crypto leader Sergej Kunz, co-founder of 1inch, concurs with Hayes' viewpoint, suggesting that if the US begins buying Bitcoin, other countries might follow, leading to a rush for the asset.
- In May, Artur Hayes hinted that, with the US already holding approximately $18 billion worth of Bitcoin (around 198,012 coins), a significant increase in holdings seems improbable.
- Artur Hayes also commented that an open announcement by a U.S. elected official about purchasing Bitcoin could face skepticism due to the prevailing Bitcoin bros stereotype established over time.
- Despite the United States' ongoing efforts to accumulate Bitcoin strategically via policy initiatives, a CoinGecko report indicates a 12% decline in global government Bitcoin reserves in April, raising doubts about the current state of holdings.
