The post Bitcoin Adoption Accelerates: 13 U.S. States Push for Strategic Reserves appeared first on Coinpedia Fintech News
Ahead of the much-awaited January 20th inauguration of the 47th President of the United States, Donald Trump, the cryptocurrency industry is gaining more bullish sentiment. Moreover, the cryptocurrency industry ended 2024 on a high note after the spot Bitcoin ETF broke the record in the ETF market.
With the alluring prospect of a parabolic Bitcoin rally in the near term, more institutional investors and nation-states are expected to follow in the footsteps of MicroStrategy Inc. (NASDAQ: MSTR) and El Salvador.
Strategic Bitcoin Reserve at State Level
After Trump recently indicated that his administration will do something great with the crypto industry, more states have been seeking to adopt a strategic Bitcoin reserve. According to Dennis Porter, the CEO and co-founder of Satoshi Action Fund (SAC), at least 13 states are working on strategic Bitcoin reserve legislation.
“January is going to be a record-breaking month for Bitcoin policy,” Porter noted.
The announcement by Porter aligns with predictions by Franklin Templeton and Bitwise Head of Research, Ryan Rasmussen. According to Franklin Templeton, several nations will add a strategic Bitcoin reserve in 2025, as the United States establishes itself as a crypto hub.
On the other hand, Rasmussen believes that the number of countries holding Bitcoin as a strategic reserve will double in 2025.
Market Impact
The mainstream adoption of Bitcoin by nation-states will escalate the ongoing supply vs demand shock. The supply of Bitcoin on centralized exchanges has continued to drop exponentially to hover about 2.21 million, despite the ongoing price consolidation.
With the United States expected to purchase around 1 million coins in the next five years, Bitcoin price could easily rally beyond $1 million per unit.
