Analysts at Bernstein have raised concerns that expanding the proposed U.S. Crypto Strategic Reserve to include blockchain assets beyond Bitcoin (CRYPTO: BTC) using Federal Reserve or Treasury funds faces significant hurdles, despite a bullish market response to President Donald Trump‘s weekend announcement.
The reserve, unveiled ahead of Trump’s Crypto Summit scheduled for Friday, includes five digital assets—Bitcoin, Ethereum (CRYPTO: ETH), Solana (CRYPTO: SOL), Ripple (CRYPTO: XRP), and Cardano (CRYPTO: ADA)—sparking debate over its feasibility and funding.
While Bitcoin’s inclusion aligns with its “digital gold” narrative, the rationale for other assets remains murky, Bernstein noted.
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The announcement triggered a sharp market rally. Bitcoin climbed above $94,000 (up 12%), while Ethereum gained 15%. Meanwhile, Solana, XRP, and Cardano surged 25%, 30%, and 70%, respectively, from last week’s lows.
Yet, Bernstein analysts argue that justifying federal purchases of non-Bitcoin assets is a tough sell.
“We think a realistic path could be that the U.S. government can convince Congress that Bitcoin is the new digital gold/global store of value and a gold revaluation/gold reserve reallocation makes sense. However, buying other blockchain assets from Fed funds or treasury …
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