Currency

Could Bitcoin replace the US dollar as the world’s reserve currency?


Bitcoin’s potential to replace the U.S. dollar as the world’s central currency is gaining traction among financial experts.

Roundtable anchor Rob Nelson and Sasha Mitchell, Head of Operations at BeL2, delved into this transformative concept, discussing its implications for global monetary policy and economic stability.

Rob Nelson emphasized the monumental shift a bitcoin-centered financial system could represent, noting that all major currencies might find parity around a decentralized currency. He remarked on the significance of this potential evolution, stating, “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.”

Sasha Mitchell highlighted bitcoin’s inherent advantages, such as its lightweight nature and guaranteed scarcity. “Bitcoin itself is so lightweight, it can move around and it can hold value that you can guarantee its scarcity,” he explained. Mitchell envisioned a future with a variety of currencies emerging from different directions, including those backed by assets like silver and gold.

When questioned about the necessity of moving away from a dollar-centric system, Mitchell pointed out issues of security and inflation. He noted that “in the last four years, the U.S. dollar has lost over 25% of its value,” emphasizing the drawbacks of a financial system that is seemingly built in-part around a “spiral of inflation that’s only going to keep getting worse and worse.”

For his part, President Trump on Tuesday reiterated his campaign promise to assign new tariffs on goods coming from countries ditching the dollar.

Looking ahead, Mitchell sees blockchain technology driving efficiency and opening new markets. “If we have a stable currency that’s backed in the digital gold bitcoin, not only do we have a way to fight against inflation… but really, we actually open the door to all of these incredible new markets which we can access and trade in,” he asserted. Adopting a bitcoin-backed stablecoin, he suggested, could be a “really beneficial step for humanity as a whole.”



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