Bitcoin's Big Jump: Trump's Crypto Plan Unveiled

On Sunday, Bitcoin reached a new peak price of $106, 491. This comes as President-elect Donald Trump hinted at plans to create a U. S. strategic reserve for Bitcoin. In a recent interview, Trump discussed the idea of a crypto reserve similar to the Strategic Petroleum Reserve. Rep. Cynthia Lummis of Wyoming proposed that the U. S. government should buy 1 million Bitcoin over five years, costing over $100 billion at today's prices. Yet, this would need Congressional approval. Some crypto industry insiders speculate that Trump could use the Exchange Stabilization Fund to purchase Bitcoin. Established in 1934, the Exchange Stabilization Fund allows the President to make financial transactions to stabilize exchange rates. This fund could potentially be used to buy Bitcoin, according to crypto advocates. Meanwhile, MicroStrategy, a software company with a major Bitcoin investment, will soon join the Nasdaq 100 index. This will automatically make ETFs like the Invesco QQQ Trust buying MSTR shares. MicroStrategy has invested $27. 1 billion in Bitcoin, making a paper profit of $19. 1 billion on its 439, 000 Bitcoins. However, its enterprise software business is unprofitable.