Strategic Crypto Reserve: The Ongoing Debate Ahead Of US Summit

Strategic Crypto Reserve: A Close Look At The Surprising Inclusions

Strategic Crypto Reserve: All Eyes On The Upcoming US Crypto Summit

The idea of the creation of a strategic crypto reserve by the US President Donald Trump is in trend. The topic gained much heat after Trump announced the inclusion of four other cryptocurrencies in the US crypto reserve apart from Bitcoin - Ether, XRP, SOL, and ADA - US crypto reserve coins’ list.

US Crypto Reserve XRP

As per reports, Ripple Labs is the mastermind behind the inclusion of SOL in the reserve. They say, Ripple Labs’ executives, including CEO Brad Garlinghouse and Chief Legal Officer Stu Alderoty, intended to include XRP in the strategic crypto reserve which is to be formed under the Trump administration. However, to avoid any blame and criticism for the same, they somehow convinced the President of the United States to also add other digital currencies, here SOL. And Ripple Labs is now preaching the idea of a crypto reserve with several American tokens working together.

Strategic Crypto Reserve and SOL

As per crypto news, Solana co-founder Anatoly Yakovenko gave his stance toward the idea of a strategic crypto reserve. As per him, there should not be such a reserve as it may harm the idea of decentralization and the core principles of blockchain technology due to government control. He, though, gave a secondary opinion - individual states, rather than the federal government, could manage their own Strategic Reserves. As per Toly, this would act like a hedge against potential mistakes by the US Federal Reserve. 

The plan, anyways, appears not very successful. The public announcement was still met with ridicule by the crypto community. Trump's failure to mention bitcoin and ether in his post on the subject did not help either.

US Strategic Crypto Reserve and ADA

There is news that Cardano co-founder Charles Hoskinson is not invited to the White House Crypto Summit Friday. Hoskinson’s name was expected on the guest list for the Friday event after Trump stated that Cardano’s $35.6 billion token, ADA, would be included in a crypto reserve on Truth Social Sunday. The ADA price spiked over 100% to a price of $1.14 on the news, though it declined later on.

Cardano is fetching the attention of crypto enthusiasts with this inclusion, as well as other factors playing their part, like whale accumulation and marketplace optimism. The Cardano price nears $1. As per a prominent analyst Ali Martinez, if ADA breaks the $1.14 resistance level, it could surge toward $2 in the short term. While whales have accumulated over 420 million ADA tokens post Trump’s announcement, U.S. SEC’s recent acknowledgement of Grayscale’s ADA ETF filing also seems to be adding to the momentum.

As per some, in case ADA maintains its bullish momentum, it could even reach $12 ahead of 2025, paving the way for a potential ADA surge to $25 in the long term.

All Eyes On Friday

The first three tokens mentioned, XRP, SOL, and ADA are not seen as stores of value. This is leading to many questions about whether the reserve is a serious project and will accumulate large amounts of these tokens or simply a way to give early investors and the insiders behind these tokens a public relations boost. This debate unfolds just ahead of the US Crypto Summit on March 7, an event gaining traction after Donald Trump’s recent crypto policy remarks.

There is another key question to be answered - whether or not a meaningful amount of tokens beyond BTC, and possibly ETH, will be included in the reserve. If just token amounts are set to be deposited then the overall impact of Trump’s announcement on Sunday, where there were massive surges in the price of each token, could be nullified.

Notably, the summit has further gained traction as Donald Trump’s family project World Liberty Financial betted $20 million on Bitcoin and Ethereum recently.