Richard Byworth on U.S. Strategic Bitcoin Reserve

Richard Byworth, managing partner at alternatives investment firm Syz Capital, describes the United States’ creation of a strategic Bitcoin reserve as historic for the crypto market.

According to Byworth, President Donald Trump’s signing of the executive order that established a strategic Bitcoin (BTC) reserve is a “seminal moment” for the crypto industry. He expressed this during an interview with CNBC’s Squawk Box on March 10.

His comments come after the inaugural crypto summit at the White House, an important event for crypto, particularly Bitcoin.

> “The fact that the United States is getting to the point of understanding that they need to create a strategic reserve in this asset to maintain their position as the number one currency, and also to ensure they are well positioned for future assets, is very significant,” he stated.

Byworth emphasized the importance of the U.S. taking the lead over smaller countries, such as El Salvador, which was the first country to adopt Bitcoin as legal tender. Since then, many developments, including those involving the International Monetary Fund, have occurred in El Salvador. However, the U.S., as a global powerhouse, making this move is a major statement.

In Byworth’s view, the next critical step is for the U.S. to adopt a non-partisan approach to this issue. If they do, it could lead to further policy changes and help legitimize Bitcoin on a global scale. Other countries may follow suit, creating their own strategic Bitcoin or crypto reserves.

U.S. to Sell Crypto Stockpile to Buy BTC?

While some experts argue that a strategic Bitcoin reserve won’t be sufficient to establish America as the world’s crypto capital, Byworth believes the development is bullish for BTC and the broader ecosystem.

> “The market has been somewhat disappointed with the government’s intentions regarding purchasing Bitcoin. However, their ‘budget neutral’ stance on acquiring more Bitcoin is crucial, as it opens doors for various potential acquisition strategies.”

One potential method for purchasing BTC could involve selling assets included in the anticipated crypto stockpile.

Previously, when discussing the crypto reserve, Trump mentioned altcoins like XRP, Solana, and Cardano, which will be part of the stockpile. Byworth suggests that these could be sold to fund further BTC acquisitions.