Notable Bitcoin advocate and investor Anthony Pompliano proposed a bold strategy for President Donald Trump to accelerate Bitcoin adoption in the U.S.
In a recent video, Pompliano outlined three key strategies that could position Trump as a pioneer of the digital currency revolution.
The three key factors for Pompliano's cryptocurrency success
Pompliano's first proposal is to abolish SAB-121, a controversial accounting rule that currently classifies digital assets like Bitcoin as liabilities on bank balance sheets.
Pompliano explained, “If you are a bank, you wouldn't want to hold assets that are considered liabilities.”
Abolishing this rule would incentivize banks to hold Bitcoin, making it safer and more attractive to institutional investors.
The second proposal put forth by investors is to establish a national Bitcoin strategic reserve.
The U.S. government will hold more Bitcoin,” he asserted, emphasizing the importance of the U.S. buying more Bitcoin.
Amid the intensifying debate over Bitcoin's role as a national reserve asset, Pompliano also highlighted Bitcoin's transformative potential for individuals, businesses, and even nations.
Current state of Bitcoin adoption
This trend is also emerging globally, with countries like El Salvador incorporating Bitcoin into their national strategies, and Bhutan's Gelephu Mindfulness City plan considering Bitcoin, Ethereum, and BNB as strategic reserves.
Corporate adoption rates are also rising, with Genius Group recently approving a $33 million equity offering, expanding its Bitcoin reserves to $86 million.
Pompliano's third proposal is to reform the tax classification of Bitcoin, which currently treats Bitcoin as property, subjecting transactions involving goods or services to capital gains tax.
Pompliano suggested reclassifying Bitcoin as currency to exempt it from capital gains tax on transactions, enhancing its practicality for everyday use.
Pompliano stated, “If Trump does these three things, the price of Bitcoin will suddenly surge.”
Trump's second term and the cryptocurrency boom
As the world anticipates Trump's second inauguration, the cryptocurrency market is rife with speculation about potential shifts in the political and financial landscape.
With Pompliano's strategic suggestions, the upcoming ‘crypto ball,’ and rumors of an executive order supporting crypto on Trump’s first day in office, the crypto community is filled with optimism.
These developments mark a pivotal moment for the cryptocurrency industry, with this inauguration likely to impact market dynamics and shape the future of digital assets.
