Michael Saylor, Cynthia Lummis Confirm Bitcoin Can Offset $16 Trillion US Debt

MicroStrategy Chairman Michael Saylor and Wyoming Senator Cynthia Lummis are making all efforts to bring a strategic Bitcoin reserve for the United States. During his latest CNBC interview, Saylor stated that accumulating one million BTC over the next five years will help to reduce the US national debt by a staggering $16 trillion. This means cutting off a staggering 45% of its current debt figures.

Bitcoin Reserve to Reducing US National Debt

In his recent CNBC interview, Michael Saylor discussed the Red wave in the US elections and how Donald Trump’s victory can impact the crypto market. Besides, he also discussed MicroStrategy’s plans to raise $42 billion to buy additional Bitcoins.

Most importantly, Saylor believes that the US is most likely to have its own strategic Bitcoin reserve with a concrete plan in place very soon. Earlier this year during the Bitcoin 2024 conference in Nashville, President Donald Trump stated that he would make a plan for the US government to hold 200,000 Bitcoins as reserves.

Shortly afterward, Sen. Cynthia Lummis (R-Wyo.) introduced a bill proposing an increase in the country’s digital asset reserves. Moreover, she also shared a plan of accumulating one million tokens over a five-year period. In her recent comments on Thursday, Senator Lummis also proposed selling the Fed’s gold reserves partially to buy one million BTC.

If Sen. Lummis’ bill passes in its current form, the U.S. could realize a $16 trillion benefit from purchasing one million Bitcoin, according to Saylor. In his interview, the MicroStrategy executive chairman said:

“The best way to protect the dollar is make sure you retire the debt and become rich. The next best way to protect the dollar is to make sure that if anybody ever considers a different capital asset other than the treasury bill, you own it”. That asset is Bitcoin, he added.

Bitcoin is Manifest Destiny for the United States. My discussion of The Red Wave, MicroStrategy’s $42 Billion Plan, the compelling logic of the Strategic #Bitcoin Reserve, and getting ready for the 100K party, with @MorganLBrennan. pic.twitter.com/fvkwRnCzlU

— Michael Saylor⚡️ (@saylor) November 14, 2024

Michael Saylor Predicts Trump Max Case

Saylor highlighted that the U.S. acquiring strategic assets is not a new concept, citing some key asset purchases in the past. He also pointed out other strategic purchases throughout U.S. history, including gold, oil, grain, and helium, all of which have delivered multi-trillion-dollar in returns. In the latest such development, the Pennsylvania House passed a bill to build a state Bitcoin reserve. He added:

“You’re a nation, this is what nations do. … Bitcoin is manifest destiny for the United States. I think the Trump administration understands it, I think Senator Lummis understands it … that’s why it will happen.”

Saylor also outlined a “Trump Max” scenario, where the U.S. would purchase four million Bitcoins, a move he suggested could yield an $81 trillion return. According to Saylor, this “Trump Max” strategy represents the most “rational approach”.

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Bhushan Akolkar

Bhushan is a FinTech enthusiast with a keen understanding of financial markets. His interest in economics and finance has led him to focus on emerging Blockchain technology and cryptocurrency markets. He is committed to continuous learning and stays motivated by sharing the knowledge he acquires. In his free time, Bhushan enjoys reading thriller fiction novels and occasionally explores his culinary skills.

Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.