Bitcoin - Soon A Russian Strategic Reserve?

Russia is stepping up now that Washington has embraced bitcoin. Soon a Russian strategic reserve?

Tension is rising

It is done, the United States has officially adopted Bitcoin as a reserve currency. Bo Hines, one of the twelve members of the crypto council, stated he wants to “buy as much bitcoin as possible”. There is “no limit”.

It seems that the Americans want to act quickly and forcefully to avoid being left behind. Senator Cynthia Lummis has just reintroduced the “Bitcoin Act” in the Senate, proposing to buy 200,000 BTC per year through the sale of gold stocks.

A dozen senators have already shown their support. Senator Jim Justice said at the beginning of the week: “We have gone from the horse to the car, then to the plane, and now, we are aiming for Mars. In the world of finance, we need to do the same”.

The CEO of the exchange platform Coinbase also shares this view. He stated some time ago at the World Economic Forum:

“Bitcoin is a better form of money than gold. It is important for governments to hold bitcoin as a store of value. It may be 1% of their reserves at the start, but I believe that in the end, the share of bitcoin will equal or even exceed that of gold.”

Mr. Armstrong believes that the American strategic reserve will lead the rest of the G20 to take an interest. The CEO of Coinbase also revealed this Thursday that the launch of the United States’ strategic bitcoin reserve has sparked increased interest from governments worldwide…

In other words, several countries are already trying to outpace the United States.

Domino Effect

We know that the Czech Republic is considering placing part of its reserves in bitcoin and that several countries have already had this audacity. This is the case for Bhutan, El Salvador, and the United Arab Emirates.

Things are also moving in Russia where Duma Deputy Anton Tkachev proposed creating a strategic reserve a few months ago. Vladimir Putin himself praised bitcoin as an alternative to foreign currency reserves.

“Why accumulate reserves if they can be lost so easily?”, he declared last December. For the Russian president, bitcoin is a potential solution: “Who can ban bitcoin? No one. Whatever happens to the dollar, these new technologies will develop one way or another […]”.

The CEO of Biriver, Igor Runets, Russia’s largest miner, also spoke out on his Telegram account: “A logical question arises: is a strategic reserve of bitcoins possible in Russia? There is no doubt that the Russian financial system would benefit from it”.

It was written that the disconnection from SWIFT and the freezing of its reserves would push Russia towards bitcoin. Moreover, Mr. Putin has not made the lifting of these sanctions a prerequisite for making peace with Ukraine. Perhaps he is considering betting on bitcoin now that the United States is all-in?

In reality, that is already the case. Reuters reports today that Russian oil companies are already using it to trade with China and India…

It is only a matter of time before the entire world uses bitcoin as an international reserve currency and alternative payment system.

Don’t miss our article: The United States will erase the debt with Bitcoin.