Michael Novogratz, the billionaire founder of cryptocurrency investment firm Galaxy Digital, has expressed doubts about the possibility of the United States creating a strategic reserve of bitcoin, a proposal made by the president-elect. Donald Trump.
Novogratz predicts a $500,000 rise in Bitcoin prices
in interview Speaking to Bloomberg TV, Novogratz said: “I still think this is a low possibility,” highlighting the challenges posed by the current political landscape. Although Republicans control the Senate, Novogratz asserts that they do not have the absolute majority needed to pass such important legislation.
Novogratz suggested that the United States would be wise to not only retain its current Bitcoin holdings but also consider acquiring more, positioning the nation as a leader in technology and innovation. Digital assets.
“We want to show the world that we are going to be a technology-first country, a crypto country, and a digital asset-first country,” Novogratz said, stressing the potential benefits of embracing cryptocurrencies.
During the 2024 National Bitcoin Conference in Nashville, Trump announced plans to preserve all bitcoins held by the government, turning them into “perpetual national assets to benefit all Americans.”
Some advocates, such as Senator Cynthia Lummis, who also attended the venue, suggested that the United States buy nearly 1 million bitcoins, which would be equivalent to more than $90 billion at current market values.
If the United States creates a strategic bitcoin reserve, Novogratz predicts a significant rise in bitcoin prices CryptocurrencyIt was estimated to reach $500,000. Currently, Bitcoin is trading at around $93,000.
“If we get a bitcoin reserve, as a guy who owns a lot of bitcoin, I won’t cry,” he noted, adding that such a move would create a new paradigm, forcing other countries to follow suit.
Trump’s election win sends Bitcoin up 30%
Trump’s victory in the recent presidential election has positively impacted the cryptocurrency market, contributing to a more than 30% increase in the value of Bitcoin and pushing the overall digital asset market above its level. Pre-pandemic peak.
Trump has gone from being a cryptocurrency skeptic during his first term to an outspoken supporter, with his family even launching a decentralized finance project called World Liberty Financial (WLF).
Novogratz, a former partner at Goldman Sachs and Fortress Investment Group, has also seen his wealth increase significantly. net worthwhich rose to nearly $5.4 billion this week, up from $1.6 billion at the end of 2022. It is worth noting that Galaxy Digital witnessed its largest trading day of the year on November 6, following Trump’s electoral success.
In addition to his market commentary, Novogratz took to X (formerly Twitter). criticize Senator Elizabeth Warren’s remarks on Trump’s announcement that billionaire Elon Musk and businessman Vivek Ramaswamy will lead a new initiative called the Department of Government Efficiency (DOGE), a name inspired by Musk’s affinity with the Dogecoin meme.
At the time of writing, Bitcoin is trading at $93,000, an increase of 141% year-to-date.
Featured image of DALL-E, chart from TradingView.com