#cryptonews
Bitcoiners have reacted with dismay to Donald Trump’s strategic crypto reserve — with one claiming Sunday’s announcement “reeks of incompetence.”
The president has confirmed that altcoins including XRP, SOL and ADA will feature in this stockpile, with BTC and ETH treated like an afterthought on Truth Social.
Podcaster Peter McCormack said the out-of-the-blue posts were “a disappointment but not a surprise,” telling Cryptonews: “A Bitcoin strategic reserve is a logical move — Bitcoin is a hard asset, and its long-term appreciation could help offset national debt or serve as a financial backstop. Instead, the decision to hold a mix of known scams and inferior assets alongside Bitcoin reeks of both incompetence in appointments and successful lobbying from the likes of Ripple.”
Critics claim such smaller cryptocurrencies suffer from high levels of centralization — and shouldn’t have been included.
He says no other cryptocurrency offers the same levels of immutability, transparency and long-term appreciation potential — and exposure to “centralized or unproven alternatives” means this reserve will be less effective at strengthening America’s national financial security.
McCormack went on to argue that David Sacks “was always the wrong choice” for White House crypto czar, and claimed “he lacks any real understanding of Bitcoin and why no other cryptocurrency holds long-term value for wealth preservation.”
While it may not be the policy that was hoped for, McCormack thinks it will be good for Bitcoin’s price regardless, as it adds to supply pressure and “signals to other nations that this is an asset that should be taken seriously.”
“Expecting Trump to grasp Bitcoin and crypto assets at the depth of those who have spent years studying the crossroads of money and economics is unrealistic. The real failure lies with those advising him — either they haven’t done the necessary work to understand Bitcoin’s unique properties, or they’ve fallen for lobbyists like Brad Garlinghouse, pushing inferior, centralized alternatives.”
However, McCormack believes Donald Trump himself had little to do with thrashing out the details in this announcement — and argues that the president’s advisers should shoulder more of the blame.