White House Cryptocurrency Summit: Aspirations Amid Bitcoin Price Decline
The White House held its first cryptocurrency summit to promote the U.S. as a crypto hub, but Bitcoin prices fell by 4% post-summit due to investor disappointment and clarifications on the strategic reserve plan. Experts highlighted the need for legislative backing for impactful change in the industry.
The White House hosted its inaugural cryptocurrency summit on Friday, aimed at establishing the United States as the leading hub for cryptocurrency. The event gathered key industry figures, emphasizing the administration’s departure from former President Biden’s stringent regulations. Despite these positive intentions, Bitcoin’s value saw a decline of 4% immediately after the summit and subsequently fell by about 8% by week’s end, according to NBC News.
The drop in Bitcoin’s price was linked to remarks from David Sacks, the White House’s chief specialist on AI and cryptocurrency. During the summit, President Trump had enacted an executive order to establish a strategic reserve of Bitcoin. However, Sacks later clarified that the United States would not pursue additional cryptocurrency acquisitions. Rather, the reserve would comprise Bitcoin already confiscated by law enforcement.
In response to the executive order, Jeff Park, head of Bitwise, expressed reservations. He referred to the details of the order as an “imperfect outcome” and questioned its future impact. He stated, “An EO is a singular political directive that can stick or disappear… without the collective power of legislation… it is not likely the game-changing thing that kicks off a bunch of second order things people expect.”
The first cryptocurrency summit hosted by the White House highlighted a significant shift in the administration’s stance toward cryptocurrency. Although aimed at positioning the U.S. as a leader in the space, the subsequent decline in Bitcoin’s price reflects investor disappointment, particularly following clarifications regarding the nature of the strategic reserve. Expert opinions suggest that executive orders alone may not suffice to spur substantial developments in the cryptocurrency landscape without supporting legislation.
Original Source: newsukraine.rbc.ua
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