Key Points
- Brian Armstrong, Coinbase CEO, advocates for global adoption of Bitcoin as a strategic reserve.
- Bitcoin hits the $100,000 mark, with its growth over the years hailed as the best-performing asset.
Brian Armstrong, CEO of Coinbase, is encouraging governments globally to consider Bitcoin as a strategic reserve.
He expressed this view on his X page on December 4, sharing insights into Bitcoin’s performance over the last 12 years. This comes after Bitcoin reached a milestone of $100,000.
Bitcoin’s Impressive Growth
Armstrong demonstrated that a $100 investment in Bitcoin in June 2012 would now be worth $1.5 million. Conversely, $100 held in cash would have depreciated due to inflation, now purchasing just $73 worth of goods.
This impressive growth led Armstrong to proclaim Bitcoin as the best-performing asset over the last 12 years. He suggested that Bitcoin is still in its early days, indicating more potential. He urged all governments, especially those looking to hedge against inflation, to establish a Bitcoin strategic reserve.
Global Adoption of Bitcoin
Countries like El Salvador have accepted Bitcoin as legal tender. As of November 22, 2024, the government holds 5,942 Bitcoins. Similarly, Bhutan owns more than 12,000 BTC as of last month, showing that countries are gradually entering the Bitcoin space.
Spencer Hakimian, founder of Tolou Capital Management, supported Armstrong’s views, recognizing Bitcoin’s unparalleled ability to generate wealth. He commented that Bitcoin has generated more wealth than any other asset in history.
Bitcoin’s Rise to $103K
Bitcoin’s price has been on the rise recently, hitting a new all-time high of $103,000. This sudden surge can be attributed to the selection of crypto supporter Paul Atkins as the next SEC chairman by newly elected president Donald Trump.
The appointment of a pro-crypto chairman has been well-received in the crypto community. Ripple CEO Brad Garlinghouse commended the appointment, stating it would bring ‘common sense’ back to the agency. He noted that the team of Paul Atkins, Hester Peirce, and Mark Uyeda would end the prohibition era on crypto, promoting freedom, economic growth, and innovation.
SEC commissioner Hester Peirce expressed that the agency has a lot of work to do to promote free markets, facilitate capital formation, enhance investor choice, and support innovation. She was pleased with the return of Paul Atkins as the next SEC chair, describing him as ideal to lead these efforts.
The leadership of a pro-crypto person at the SEC could provide more freedom to crypto, potentially boosting its value. Cryptocurrencies are still in their early stages, and there is high optimism that their prices can increase even further. Robert Kiyosaki, author of the Rich Dad Poor Dad series, predicted that Bitcoin could reach around $250,000 in 2025.
