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Bitcoin advocate and entrepreneur Anthony Pompliano has shared his vision on how incoming US President Donald Trump can play a pivotal role in pushing Bitcoin into the mainstream and increasing its value.
In a short video on X, Pompliano pointed out three important actions Trump could take to enhance Bitcoin’s position in the US economy.
3 Ways Donald Trump Could Help Bitcoin Take Off
First change Pompliano suggestion is to repeal the controversial accounting regulation known as SAB-121. This regulation now requires banks to treat digital assets, such as Bitcoin, as liabilities on their balance sheets.
“If you are a bank, you don’t want to own an asset that is considered a liability,” Pompliano explains.
Removing this regulation would encourage banks to hold Bitcoin, making the asset safer and attractive to institutional investment.
Pompliano’s second proposal is to establish a National Bitcoin Strategic Reserve Fund.
“The US government will hold more Bitcoin,” he said, referring to the $200K already held on the federal balance sheet.
He proposed that the United States should proactively buy more Bitcoin, considering it a long-term economic asset.
“It is beneficial for the US economy in the long term if the US has more Bitcoin,” he added.
Pompliano emphasized the benefits of Bitcoin for individuals, corporations and therefore nations themselves. Interestingly, there is currently a global debate about the role of BTC as a national reserve asset. In fact, it has been reported that 13 US states are implementing Bitcoin Reserve plans.
Finally, Pompliano recommends changing the tax treatment of Bitcoin. Currently, Bitcoin is classified as property, meaning that when used to buy goods or services, it triggers capital gains tax, a treatment he considers unfair.
“It doesn’t make sense, you don’t do that with USD,” Pompliano commented.
Instead, he proposed treating Bitcoin like any other currency, with transactions not subject to capital gains taxes. This will make it more practical for everyday use.
“If Trump does these three things, Bitcoin will grow very, very high,” Pompliano declared.
These proposals reflect a broader push for clear regulatory frameworks, which could spur Bitcoin’s growth. By repealing SAB-121, establishing a strategic reserve, and changing its tax treatment, Pompliano believes Bitcoin can see significant growth.
Pompliano’s comments come as the crypto community eagerly awaits the first “Crypto Ball,” scheduled to take place on Friday, January 17. Although Trump is not expected to attend, the “king of Cryptocurrency” David Sacks will be the host of this opening gala.
Furthermore, Trump is expected to sign a major pro-cryptocurrency executive order on his first day in office.
General Bitcoin News
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