KEY POINTS
- Lutnick reiterated that the president is very much interested in a $BTC reserve
- He said other crypto assets to be considered for the reserve will be treated 'differently'
- Bitcoin prices climbed above $90,000 following the news
U.S. President Donald Trump is expected to announce a national strategic Bitcoin reserve on Friday, at least according to Commerce Secretary Howard Lutnick, who is known for his pro-innovation views.
Lutnick made the big revelation Wednesday, reiterating the president's commitment to Bitcoin and the broader cryptocurrency industry.
Commerce Chief Indicates SBR 'Model' to be Unveiled Friday
"The President definitely thinks that there's a Bitcoin strategic reserve," Lutnick told The Pavlovic Today. He added that he thinks "the model is going to be announced on Friday," at the first ever White House digital assets summit.
He went on to note that he believes the reserve will be "executed" during the much-anticipated summit that will be graced by some of the industry's most prominent leaders.
A 'Different' Treatment for Other Crypto Assets?
Aside from the big reveal on when the Bitcoin reserve will be announced, Lutnick also hinted that the president had been listening to some concerns around a basket of cryptocurrencies to be considered for a national reserve.
"So Bitcoin is one thing, and there the other currencies, the other crypto tokens, I think, will be treated differently—positively, but differently," he explained, suggesting that there will be a separate reserve for other crypto assets.
Ahead of the summit, some crypto leaders such as Coinbase CEO Brian Armstrong and the Winklevoss twins of the Gemini exchange explained why they think the Trump administration should take a "Bitcoin only" approach when establishing a crypto reserve.
Cameron Winklevoss argued that BTC is the only digital asset that "meets the bar for a store of value reserve asset."
$BTC Pumps on Big News
Bitcoin prices climbed above $90,000 Wednesday night as anticipation started to build over Lutnick's revelation. The world's largest crypto asset by market cap was up 5% in the day and as of early Thursday, was trading in the $91,000 highs.
Other major cryptocurrencies were also lifted by the news, with Ethereum logging a 5.1% spike and XRP slightly pumping by 2.5% in the last 24 hours.
Why the News Matters
News of Bitcoin being treated "differently" over other coins being considered for a crypto reserve is crucial for the BTC community, especially since it came from an individual whose company, Cantor Fitzgerald, holds Bitcoin.
Also, many Bitcoiners, including Michael Saylor, believe a U.S. strategic reserve should only hold digital coins that meet the standards of what a store of value should be.
