Governments around the world are realizing a huge missed opportunity as the explosive price rise of bitcoin shows that early adoption of cryptocurrency could cut deficits and build national wealth, according to the CEO of Binance.
Governments Can Reduce Deficits with Bitcoin, According to CEO of Binance
Binance CEO Richard Teng has emphasized the long-term value of bitcoin in recent posts on social media platform X, citing its price increase and financial opportunities that governments have missed. His comments came after bitcoin reached a new all-time high, refocusing on its global financial role. On May 22, Teng stated:
Looking at bitcoin's performance in recent years, countries could address budget deficits through strategic cryptocurrency reserves. Even those who have sold their holdings have seen the great opportunities missed in hindsight.
His comments highlight the potential of bitcoin as a sovereign asset, suggesting that if governments accumulated reserves earlier, they could reduce financial deficits. Teng's assertion further reinforces the argument that bitcoin can not only serve as a hedge or speculative asset but also as a core component of national financial strategies.
A day earlier, Teng reflected on the changing perception of value and attainability of bitcoin as BTC reached its all-time high, he posted on X:
What seemed impossible in cryptocurrency just a few years ago has now become the norm. This pattern repeats: "impossible" yesterday becomes the expected today. I often check the 5-year BTC chart and recall conversations where smart minds claimed that certain price levels were unattainable.
These comments frame the rapid development of sentiment in the cryptocurrency space, where price milestones once considered out of reach have now been surpassed and are expected. Teng's remarks come at a time when institutional adoption is increasing and discussions around cryptocurrency reserves are becoming relevant again.
Both Binance and former CEO Changpeng Zhao (CZ) are advising governments on cryptocurrency regulations and building national digital asset reserves. While Binance provides guidance on regulations and promotes adoption, CZ independently supports countries like Pakistan and Kyrgyzstan, proposing bitcoin and BNB as reserves and offering expertise on blockchain. After bitcoin's record price surge on May 21, CZ wrote on X: "Feel sorry for those who sold at $77,000. Remember to look at the annual chart instead of the occasional 1-minute chart."