But digital currency is made up. It isn't 'needed' for anything. So there is no sense to have a strategic reserve.
FX reserves. (Doesn’t apply here. But stockpiling social constructs can still make sense.)
The only intrinsic value of crypto is that it can not be unilaterally inflated away, and can be difficult to digitally seize.
In this respect it is similar to gold. It lacks the physical uses of gold, but is easier to transport.
No, I don't think the US government should invest in it. It should make sure it's own currency retains value.
BTC is backed by hopes, dreams and market speculation.
Inherent or not depends on how far are you willing to stretch your assumptions.
The only difference here is mentioning of specific cryptocurrencies.
Prove? That's a high bar to clear. But this is a spike at merely reiterating a bailout plan.
So do fiat currencies.
On the other hand, people don’t usually transact with BitCoin because of its volatility and because BitCoin’s currency deflation. I’m also almost certain Bitcoin protocols couldn’t keep up with global transactions even if the currency did stabilize. One last point (there are way too many to write them all here) is that there will be no incentive for people to verify blocks when all 21 billion coins are completely mined.
Bitcoin is a game of betting there is a bigger sucker who comes after you. Bitcoin whales realized that the government is the biggest sucker of them all. It’s ironic to me that they have lobbied so hard for the government to subsidize their assets when they have been preaching libertarian idolatry for years.