Renowned economist Peter Schiff has proposed an alternative to the Bitcoin Strategic Reserve, which he strongly opposes.
- Peter Schiff suggests the US should create a US coin instead of adopting a Bitcoin Strategic Reserve.
- Schiff said the coin’s supply should be capped at 21 million, like BTC.
- Nick Carter says BTC reserves could undermine the dollar.
Peter Schiff has once again stated his strong stance against the Bitcoin Strategic Reserve. This time, the renowned economist has proposed an alternative that the US could adopt instead of creating the Bitcoin Strategic Reserve.
Peter Schiff proposes an alternative to the Bitcoin Strategic Reserve
In the X post, Peter Schiff stated that the US could save a lot of money by creating a “US coin” instead of the Bitcoin Strategic Reserve. Interestingly, he said that, like Bitcoin, the number of US coins could be limited to 21 million.
He added that the coin would need to run on an updated blockchain in order to be used for payments. The renowned economist, who turns out to be a Bitcoin skeptic, has repeatedly made it clear that he is against the idea of a Bitcoin Strategic Reserve.
Schiff recently said that the best thing Biden could do before leaving office would be to sell off US Bitcoin holdings. According to him, this would put an end to all the “nonsense” about creating a Bitcoin reserve.
His latest comments seem like another taunt to Bitcoin supporters. However, despite Peter Schiff’s skepticism, the idea of creating a US BTC reserve seems to be gaining momentum.
Moreover, Senator Cynthia Lummis, the sponsor of the Bitcoin Act of 2024, has proposed a plan to create a BTC reserve to reduce the $36 trillion national debt. Matthew Siegel of VanEck also explained a scenario in which the reserve could offset 36% of the national debt by 2050.
The Case Against a BTC Reserve
Like Peter Schiff, Nick Carter of Castle Island Ventures also opposes the idea of creating a strategic Bitcoin reserve. Carter explained that a BTC reserve would undermine, rather than support, the dollar.
He explained that the US issues the dollar as a global reserve currency. Therefore, acquiring Bitcoin and giving it a monetary role could mean that the US is losing confidence in the current dollar-based system. However, despite the objections of people like Nick Carter and Peter Schiff, the focus seems to be on how Bitcoin can strengthen the US economy. CryptoQuant CEO Ki Young Ju also agreed that creating a Bitcoin strategic reserve to offset US debt is a viable approach.