Bob McElrath, a former blockchain architect at Fidelity Investments, has shut down the idea of creating a strategic Bitcoin reserve in the United States, describing it as a “hopium hallucination.”
“It’s a stupid idea. Don’t expect the US to fill your bags. Bitcoin is just a small freight compared to the US economy,” he said.
The possibility of the US government creating a Bitcoin reserve has become one of the main bullish catalysts.
As reported by U.Today, MicroStrategy co-founder Michael Saylor urged the US government to sell gold in favor of Bitcoin.
Senator Cynthia Lummis of Wyoming initially introduced the idea of creating a strategic Bitcoin reserve in her bill filed earlier this year. The proposal has since gained traction, with many experts questioning whether or not it would be a prudent move by the U.S. government.
However, even some of Bitcoin’s most prominent supporters doubt the US government would create such a reserve. As reported by U.Today, Galaxy CEO Mike Novogratz predicted that a Bitcoin reserve would likely fail to be implemented. However, if that happens, the crypto mogul expects to hit $500,000.
The idea has also received very strong pushback from some experts outside of the cryptocurrency space.
“The main argument for a strategic Bitcoin reserve appears to be that Bitcoin holders are worried about a looming shortage of bigger fools and need the US government to act as the bigger fool of last resort,” said David Frum, editor-in-chief of “The Atlantic.” ” recently wrote on social networks.
James Surowiecki, author of “The Wisdom of Crowds,” opined that there was no strategic need for the United States to hold Bitcoin.
