Anthony Scaramucci, Founder and Managing Partner at SkyBridge Capital, recently shared his insights on Bitcoin (BTC) and the broader cryptocurrency market. Speaking at the Bitcoin MENA 2024 Conference, Scaramucci predicted that China would likely establish a Bitcoin strategic reserve in 2025.
Scaramucci Predicts China Will Follow the US Bitcoin Strategy
The former White House Communications director predicted that China would return to BTC mining after years of a blanket ban. In addition, the American stated that China will also likely create a BTC strategic reserve next year, following in the footsteps of the US.
Related Reading
Scaramucci attributed this potential shift to the pro-crypto stance of the US, driven by the victory of Republican presidential candidate Donald Trump in the November election. He believes the US’ new regulatory framework for digital assets will pressure other nations to establish similar frameworks.
He added that China may have its own Bitcoin strategic reserve by next year. Further, the Asian giant might reconsider the ban on Bitcoin mining and use it as a tool to mine and accumulate more BTC. Scaramucci said:
China, there is no way, and I’ll bet money on this, that if the US is moving toward a strategic Bitcoin reserve, that the Chinese are not going to participate.
It is worth highlighting that last month, Scaramucci stated that BTC will trade as high as $176,000 in the next two years. He pointed toward a strong demand for BTC and its limited supply of 21 million as major driving factors that could increase the asset’s price in the coming years.
Countries Looking To Create BTC Strategic Reserve
To recall, cryptocurrency was one of the major themes of President-elect Trump’s election campaign. Since Trump’s victory, speculations surrounding a national BTC strategic reserve have found increasing support from people across different domains.
Related Reading
While countries like El Salvador already maintain national Bitcoin reserves, the US creating a similar reserve could have significant global implications. Experts predict that such a move could propel Bitcoin’s price to over $1 million.
The US isn’t the only country considering a national Bitcoin reserve. In Brazil, federal deputy Eros Biondini recently introduced legislation establishing a Sovereign Strategic Bitcoin Reserve to diversify the country’s financial assets.
Similarly, Russian State Duma Deputy Anton Tkachev has proposed the creation of a Strategic Bitcoin Reserve. This initiative aims to reduce Russia’s reliance on foreign currencies like the USD and yuan for international trade and help mitigate the impact of international sanctions.
Establishing a Bitcoin strategic reserve by any major country could trigger a domino effect, prompting others to follow suit. This trend has already been observed among corporations, such as Metaplanet and Hut 8, that have adopted MicroStrategy’s approach of adding Bitcoin to their balance sheets. BTC trades at $95,344 at press time, down 1.8% in the past 24 hours.
Featured image from Unsplash, chart from Tradingview.com
+ There are no comments
Add yours