Speaking at the Heal-the-Divide PAC event, Democratic presidential candidate Robert F. Kennedy Jr. outlined specific Bitcoin-focused policies that he would enact as president, including gradual support for the US dollar with Bitcoin and exemption of Bitcoin earnings from capital gains taxes.
“My plan would be to start very, very small, maybe 1% of T-bills issued would be backed by hard currency or gold or silver platinum or bitcoin,” Kennedy said, describing his vision of a return to a US hard currency standard.
He added that, based on the outcome of that initial step, that allocation would increase annually.
This potential policy reimagines the financial system, pointing to a future where bitcoin’s sheer scarcity and sound monetary principles bolster the US dollar’s eroding status as the world’s reserve currency.
He announced that “supporting the dollar and US debt obligations with solid assets can help restore the strength of the dollar, curb inflation, and usher in a new era of US financial stability, peace and prosperity.”
In addition, Kennedy announced that his administration would “exempt conversions of bitcoin into US dollars from capital gains taxes.”
He added, “The benefits include facilitating innovation and stimulating investment, ensuring citizens’ privacy, and stimulating projects to grow their businesses and tech jobs in the United States instead of Singapore, Switzerland, Germany and Portugal.” He added, “Untaxable events cannot be reported and that means it will be difficult for governments to use currency as a weapon against freedom of expression, which as many of you know, is one of my main goals.”
During his announcement, Kennedy reiterated the set of commitments he made to advance Bitcoin adoption during a speech at the Bitcoin 2023 conference in May, which included “defending the right of self-custody over Bitcoin,” upholding “the right to operate a node in-house,” and defending “energy-neutral regulation of the industry.”
Kennedy formulated his commitments to bitcoin as an integral part of the ideals of his uncle, President John F. Kennedy, and his own vision of governing a free and fair country.
“My uncle, President Kennedy, when he was in office, understood the importance of hard currency and the dangers of owning pure fiat currency with no other choice,” said Kennedy. “He understood the relationship between fiat currencies and war and fiat currencies and…very destructive environmental projects and also these gigantic pools of wealth and the imbalances and disparities in wealth that are the ultimate payoff for every fiat currency.”
Reflecting on the history of fiat currency, Kennedy didn’t mince words, pointing to the frequent use of unsubsidized fiat currency to fund wars without the need for specific government taxes or citizen approval.
He said, “Fiat currency was invented to finance wars. I like base currencies because they make it more difficult, you have to go to the public. You can’t just print money to fund the war and tax the public with a hidden inflation tax. You actually have to go to the public and say, ‘This is what this war is going to cost.'” “
He emphasized his regulatory view that “Bitcoin is not a security and should not be regulated as one” and his commitment to “end the current policies of the Biden administration called Choke Point 2.0 to penalize banks that deal with Bitcoin.”
Thinking about the broader implications of these policies, Kennedy alluded to the financial conditions currently facing the United States. Fixed The growth rate has been 6.5% in the national debt over the past decade Makes the case for comprehensive and forward-looking financial strategies from the highest position. Against this backdrop, Kennedy’s suggestion that the US Treasury acquire assets such as bitcoin and precious metals is an approach intended to provide an insurance policy against the country’s mounting debt.
Kennedy’s firm conviction in bitcoin signals an upcoming political paradigm shift, as bitcoin is seen not only as an asset, but as a prudent political tool to ensure the nation’s financial viability and an opportunity to attract intellectual capital to US shores.