U.Today - Prominent venture capitalist and Bitcoin supporter, billionaire Tim Draper, has published a tweet to share his take on the recently approved creation of the Strategic Bitcoin Reserve in the U.S.
Tim Draper on Bitcoin Reserve
Being a vocal Bitcoiner, Draper commented on the idea of making such as reserve: “Awesome.” He added that Bitcoin is a great asset to store for the U.S. as a whole, corporate treasuries and families.“Make sure you have some,” he tweeted, urging investors to start accumulating Bitcoin.
In January this year, Draper compared Bitcoin and banks to Netflix (NASDAQ:NFLX) versus Blockbuster. The latter was a popular video chain rental store back in the 1990s, with thousands of shops around the world. Once the internet spread like wildfire, the company began to have difficulties staying afloat. It rejected an offer to buy Netflix for $50 million at the start of the 2000s.
While Netflix launched its own streaming service in 2007, Blockbuster gradually faded and in 2010 filed for bankruptcy, while Netflix continues to prosper. Draper stated that Bitcoin and blockchain are going to transform the world in many crucial spheres: “Bitcoin vs the banks. Digital health care vs big pharma. DeSci vs. educational establishment. Robots vs Big Union bosses. Drones vs Military Industrial Complex.”
Executive order to create Bitcoin Reserve signed
Earlier this week, U.S. President Donald Trump signed an executive order to establish a Strategic Bitcoin Reserve. That historic move was praised by many crypto-friendly financial experts and Bitcoin proponents on the X social media giant.However, contrary to the previous announcement, it seems that the reserve will consist solidly of Bitcoin, while such top altcoins as ETH, XRP, ADA and SOL were also named. Now, the "crypto czar," billionaire David Sacks, stated that Trump named them just because they were top 10 coins by market capitalization size.
Besides, the U.S. government, so far, is not planning to make any immediate Bitcoin purchases; it is going to build the reserve from almost 200,000 Bitcoins held by the government already. Those coins were confiscated mostly from the Silk Road over the past 10 years.
In light of this news and no big buys from the government on the horizon, the world’s bellwether crypto, Bitcoin, plunged by roughly 4.73% and is currently trading at $86,220.