Representative Ro Khanna, a prominent member of the House of Representatives, is pushing for the U.S. government to hold confiscated Bitcoin as a strategic reserve. This idea is gaining traction across both political parties, signaling a shift in how cryptocurrency is viewed in the halls of power.
Khanna argues that Bitcoin, currently valued around $61,191, should be included in the Federal Reserve’s reserves. He believes that holding Bitcoin could not only enhance the country’s financial leadership but also capitalize on its potential for value appreciation. This viewpoint aligns with recent proposals from Republican lawmakers, who suggest that the Federal Reserve should accumulate billions in cryptocurrency over the next decade.
Former President Trump’s recent statements at the Bitcoin 2024 event have also added momentum to this narrative, garnering increased support from cryptocurrency enthusiasts. Interestingly, Khanna’s advocacy reflects a growing acknowledgment of Bitcoin within the Democratic Party, with figures like Vice President Kamala Harris also expressing a commitment to supporting innovation in cryptocurrencies and artificial intelligence.
Khanna emphasizes that Bitcoin should be approached as a neutral asset. He urges the government to retain confiscated Bitcoin instead of selling it off in the market. Most of the confiscated Bitcoin held by the U.S. is linked to illegal activities, and current practices often involve reselling these assets through platforms like Coin base Prime.
He draws a comparison between Bitcoin and gold, noting that Bitcoin can be stored more easily and at a lower cost while being less sensitive to inflationary pressures from foreign currencies. Experts, according to Khanna, predict that Bitcoin may eventually surpass gold in value.
“Given Bitcoin’s potential for future value appreciation, it is essential for the U.S. government to maintain confiscated Bitcoin as strategic reserves,” he stated, underlining his belief in Bitcoin’s long-term viability.
Khanna is actively engaged in shaping cryptocurrency policy. He has co-sponsored the FIT 21 legislation with Representative Patrick McHenry, aiming to create a balanced regulatory framework between the Commodity Futures Trading Commission (CFTC) and the SEC. This legislation seeks to foster an environment conducive to innovation while ensuring proper oversight.
In addition, Khanna has organized discussions with industry leaders, including notable figures like Anita Dunn and Mark Cuban, to explore the advantages of decentralized systems like Bitcoin. He believes that for the Democratic Party to take a leading role in this emerging asset class, there needs to be more dialogue about innovation and decentralization.
Khanna hopes the Democratic Party will shift away from its historically negative stance on cryptocurrencies. He contrasts this with the more favorable outlook from the Republican Party, advocating for a transparent and supportive approach within his own party.
In summary, Representative Ro Khanna is calling for a reevaluation of how the Democratic Party approaches cryptocurrencies, particularly Bitcoin. By advocating for the retention of confiscated Bitcoin as strategic reserves, he aims to position the party as a leader in financial innovation. With bipartisan support growing, the discourse around cryptocurrency is evolving, and Khanna’s efforts may play a crucial role in shaping future policies.
A finance graduate, Maheen Hernandez has been drawn to cryptocurrencies ever since Bitcoin first emerged in 2009. Nearly a decade later, Maheen is actively working to spread awareness about cryptocurrencies as well as their impact on the traditional currencies. Appreciate the work? Send a tip to: 0x75395Ea9a42d2742E8d0C798068DeF3590C5Faa5
Get the latest Crypto & Blockchain News in your inbox.
Join Now