President Donald Trump’s plan to include three small and relatively risky tokens in an eagerly awaited US strategic crypto reserve has sparked a backlash among bitcoin bulls. The move, announced on his social media platform Truth Social over the weekend, adds a layer of complexity to what was initially seen as a long-awaited move towards legitimizing cryptocurrencies.
Industry participants have expressed frustration with the inclusion of these three tokens, citing concerns about market volatility and potential regulatory risks. “It feels like you made a gold reserve, but then you added three of your favorite companies into the reserve,” one industry participant noted. This sentiment reflects widespread disappointment among investors who had hoped to see more established and reliable assets represented in the reserve.
The news has largely erased the gains seen by bitcoin and other digital assets on Monday, indicating a lack of confidence among traders and investors. As such, the announcement has raised questions about the future direction and implications for the US cryptocurrency market under Trump’s presidency.
Source: https://www.marketwatch.com/story/why-bitcoin-bulls-arent-happy-about-trumps-plans-for-something-theyve-long-wanted-a-crypto-reserve-49a05354