Professor Jeremy Siegel has asked Donald Trump to forget about his demand for a 100% commitment to the U.S. dollar from BRICS nations, stating that Bitcoin is the true threat to the green buck.
The Professor emeritus of finance at the Wharton School faulted the President-elect’s plan when he spoke during a CNBC interview. Calling Trump’s plan a contraction of sorts, Siegel said “I find that really curious because I think the biggest threat to the dollar being used as a reserve currency is bitcoin, which we all hear Trump is a big supporter of.”
The U.S. Wants Commitment to the BRICS Would Abandon Their Plans
The revelation from the Don that believed Bitcoin is the true threat to the U.S. dollar’s status as the globe’s reserve currency has left tongues wagging. There’s chatter surrounding the position of the flagship cryptocurrency taking over the place of the green buck as BTC has so far 2024 surged at least 141% and is now trading at about $95,000.
Commenting on what he believed Trump’s administration wasn’t seeing, Siegel said, “So, it seems a little bit strange to tell them, ‘don’t produce an alternative reserve currency,’ when really bitcoin is being talked about by many countries in the world as their alternative currency.”
U.S. President-elect Donald Trump recently scoffed at the BRICS nations, warning them he would require a total commitment that they would abandon their plans of creating a new currency and abandon the U.S. dollar, threatening them with a 100% tariff levy. As per a post from Trump’s Truth Social Network last Saturday, he said, “The idea that the BRICS Countries are trying to move away from the dollar while we stand by and watch is OVER.”
Trump’s Election Pledges on Crypto have catalyzed a Bitcoin Rally.
Trump, who was initially anti-anything to do with crypto, had a change of heart during the presidential campaigns, turned around to embrace digital assets, and even pledged to make the U.S. the world’s cryptocurrency and Bitcoin capital. The President-elect’s promise to create BTC and calling it a strategic asset for the U.S. economy has catalyzed a massive crypto rally since the November 5 election outcome.
With Trump’s proposal to establish a national Bitcoin reserve and analysts expecting the value of the digital asset to exceed $100,000 by the end of 2024 and double by the end of 2025, it’s no wonder that Siegel believes Bitcoin is the true threat to the U.S. dollar’s position and not the proposed BRICS currency.
Pundits believe that the expectations of a more crypto-friendly environment once Trump takes office in January 2025 will signal the beginning of the golden era for crypto and its massive adoption in the U.S.
A Growing Conviction that Bitcoin is the True Threat among Financial Experts
The BRICS is named after the group’s original members, Brazil, Russia, India, China, and South Africa, and was specifically created to address the interests of emerging economies and especially make them less dependent on the U.S. dollar. Formed in 2009, the group has attracted additional members, including Egypt, Iran, Ethiopia, and the United Arab Emirates, who all seem to be opposed to the U.S. dollar being by far the most commonly used currency in global commerce.
The BRICS nations recently stated they would create a new rival currency to the U.S. dollar or back any other currency that would replace the green buck as the new global reserve medium of exchange. The conviction that Bitcoin is the true threat to the U.S. dollar’s place as the world’s new currency is slowly gaining traction among experts worldwide. It appears like the monumental shift toward a Bitcoin-centered financial system is imminent, seeing that all major global currencies are finding parity around decentralized currencies.
Conclusion
Roundtable anchor Rob Nelson and Sasha Mitchell, Head of Operations at BeL2, have previously stated, “That’s when I keep saying this is a big deal. I know it’s in its baby stages, and it’s pretty remarkable, but that’s what it would be doing.” According to most experts, the main attraction to digital assets that makes many believe that Bitcoin is the true threat to the dollar’s dominance is the necessity to move away from a dollar-centric system that is burdened by issues of security and inflation.
