Presidential Candidate RFK Says Bitcoin Can Help Solve The U.S. Debt Crisis

Robert F. Kennedy Jr., the U.S. presidential candidate, believes Bitcoin and blockchain technology could offer solutions for addressing the U.S. debt crisis.

Speaking during the Consensus 2024 conference in Texas, Kennedy Jr. reiterated his plan to incorporate Bitcoin into the U.S. debt management strategies of the United States.

Kennedy advocated for backing the U.S. dollar and U.S. Treasury Bills with a “basket of hard assets… including Bitcoin” to underpin the country’s Treasury bills. He said anchoring a portion of reserves to hard currency would facilitate greater financial discipline, suggesting the allocation could increase over time.

“Ultimately, I think the only way to save the dollar is through the program that I’ve outlined, which would include Bitcoin,” Kennedy said. “If that works, move to 2% the next year, adding a percentage every year.”

Kennedy Jr. also shared that he personally owns more than $1.42 million worth of BTC.

“Since I started this campaign, I purchased 21 Bitcoins,” Kennedy said. “I also bought three coins for each of my kids.”

T-Bills and U.S. debt

Treasury Bills are short-term debt securities issued by the U.S. government to finance its obligations. They are sold at a discount to their face value and mature at the full face value, providing investors with a return.

The debt ceiling is the maximum amount of money the U.S. government is allowed to borrow. Set by Congress, it controls how much debt the country can take on to pay its bills. While the U.S. debt ceiling was last set at $31.4 trillion, it is currently suspended until Jan. 1, 2025.

Kennedy Jr. claimed incorporating Bitcoin into the U.S. treasury would inject discipline into national spending. Kennedy also said he would cut military spending, arguing that building bombers and missiles does not contribute to economic growth.

“The capacity to print money indefinitely is enabling politicians and enabling all our wars,” he said. “The U.S. is now adding a trillion dollars to the debt every 100 days… “We’re already seeing threats to the role of the American dollar as the global reserve currency… Hard currency gives us freedom.”

Kennedy pledges to support blockchain industry

Kennedy also pledged to foster the United States as a global hub for blockchain and digital assets. He criticized the current administration’s hostility toward Bitcoin, which he believes is driving innovators abroad.

“We need to… make sure America remains the hub of blockchain technology,” Kennedy said. “We should be encouraging truly decentralized currencies and the flow of capital into those currencies. As President, I’ll ensure cryptocurrencies are regulated in ways that protect consumers without stifling innovation.”

Kennedy noted stiff competition from existing crypto hubs including Switzerland and Singapore, asserting that he would preside over a permissive regulatory regime with regards to the digital asset industry.

“I’m going to end the hostility from the banking system, the Fed, the regulatory agencies, the FDIC, and the SEC,” Kennedy said.

Kennedy campaign embraces Bitcoin

Kennedy Jr. made headlines by becoming the first presidential candidate to accept Bitcoin for the 2024 election cycle in July 2023. However, the U.S. Libertarian Party began accepting BTC donations in 2017.

Following Kennedy Jr.’s announcement, other candidates also moved to embrace Bitcoin. Vivek Ramaswamy became the second candidate to accept Bitcoin.

Even former President Donald Trump’s campaign now accepts various cryptocurrencies, including Bitcoin and Ethereum.