As Donald Trump’s inauguration approaches, Bitcoin advocates anticipate a price surge linked to potential pro-crypto policies, including a proposed national Bitcoin reserve. Senator Cynthia Lummis is pushing a bill mandating the U.S. Treasury to acquire 1 million BTC over five years. Opinions on this proposal are divided; some believe it could mitigate the failing fiat system, while others warn it might lead to hyperinflation of the dollar. Supporters argue that adopting Bitcoin could stabilize the U.S. economy, positioning it favorably in global markets. Critics, including former New York Fed President Bill Dudley, express concern that funding such a reserve through borrowing could raise debt costs and intensify inflation. Additionally, Nic Carter argues it may destabilize the financial system, given Bitcoin’s incongruity with the U.S.'s status as the world’s reserve currency. Lummis's proposal is expected to face challenges in Congress, with timelines for its potential passage varying based on opposition levels. Investors and policy experts remain on alert as Trump’s administration begins, closely watching for shifts in the U.S. monetary approach toward Bitcoin.

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