Bitcoin Warning: Arthur Hayes Predicts Crash if US Hoards BTC
Arthur Hayes warns that a U.S. Bitcoin Strategic Reserve (BSR) could destabilize the market rather than strengthen it.
He argues that government-controlled bitcoin would be subject to political whims, creating volatility instead of long-term stability. If the U.S. stockpiled bitcoin, a future administration could easily sell off reserves, triggering market fears. Hayes believes policymakers see bitcoin as a political tool rather than a decentralized asset. Instead of stockpiling, he suggests integrating bitcoin into the financial system by gradually devaluing the dollar against it.
He remains skeptical of major policy changes under Trump and urges crypto holders to actively shape regulation to prevent centralized control.
Clever Robot News Desk 10th February 2025
