President Trump’s recent executive order to create a U.S. Strategic Bitcoin Reserve has removed the last significant risk for the cryptocurrency. Bitwise Chief Investment Officer Matt Hougan emphasized that this move solidifies Bitcoin’s role in the global financial system. Bitcoin now accounts for 1.3% of the $128 trillion global money supply marking a crucial step in its mainstream adoption.

Hougan recalled his early Bitcoin encounter in 2011 when it was seen as a risky investment. Back then Bitcoin was challenging due to issues like custody and regulation. However, as the asset matured and gained regulatory clarity the risks diminished. Today Hougan believes it is the perfect time to invest in Bitcoin given the growing institutional support and the decline in existential threats.

The U.S. government’s creation of a Bitcoin reserve using forfeited funds marks a major turning point. This strategic move ensures Bitcoin’s long-term stability and secures it as a valuable alternative to the U.S. dollar in times of economic uncertainty.

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