Arthur Hayes Advocates for Gold Devaluation to Establish Bitcoin Reserve Under Trump’s Administration

The post Arthur Hayes Advocates for Gold Devaluation to Establish Bitcoin Reserve Under Trump’s Administration appeared on BitcoinEthereumNews.com.

Former BitMEX CEO Arthur Hayes advocates for the U.S. to adopt a Bitcoin reserve strategy by devaluing gold, suggesting it could catalyze economic revival. His controversial stance indicates that a gold devaluation could empower the U.S. Treasury to generate dollars more rapidly, facilitating significant Bitcoin purchases. Hayes underscored the urgency of this action, stating, “Trump has one year to make impactful economic changes,” emphasizing the need for immediate policy shifts. Arthur Hayes proposes a radical economic strategy involving gold devaluation to establish a Bitcoin reserve, urging the Trump administration to act swiftly. Hayes Urges a Transition from Gold to Bitcoin Reserves In a recent analysis published on his Substack, Arthur Hayes presents a provocative argument suggesting that moving away from the gold standard could unlock significant financial gains for the United States. By devaluing gold, Hayes argues, the U.S. Treasury could essentially generate additional dollar credits, which could then be strategically utilized to invest in Bitcoin. Hayes highlights the current undervaluation of gold at approximately $42.22 per ounce as an obstacle. He proposes a dramatic revaluation to between $10,000 to $20,000 per ounce, asserting that such a devaluation would significantly increase the Federal Reserve’s Treasury General Account (TGA), enabling a swift infusion of capital into the economy. “By swiftly weakening the dollar, the administration can achieve economic goals without prolonged negotiations. With Trump’s window to secure his legacy closing, a gold devaluation could be initiated in early 2025,” Hayes elaborated. The Implications of a Bitcoin Reserve for the U.S. Economy According to Hayes, establishing a Bitcoin reserve could catalyze not only the adoption of Bitcoin but would also affirm the U.S.’s dominance in the digital asset realm. The strategy aims to boost Bitcoin’s value while positioning the U.S. as a leader in cryptocurrency adoption. The Price of Bitcoin vs. Gold…