- U.S.-backed crypto reserves may include XRP, Solana, and USDC.
- BlackRock now holds $61 billion in crypto assets, signaling growing institutional interest.
- Texas proposes a Bitcoin Reserve, potentially making it the first state to adopt BTC as a reserve currency.
Brad Garlinghouse, Ripple’s CEO, addressed discussions on U.S.-backed crypto reserves during his appearance at the CfC St. Moritz conference. He shared insights on integrating cryptocurrencies like XRP, Solana (SOL), and USDC into national reserves.
Strategic Crypto Reserves Gain Attention
At CfC St. Moritz, Garlinghouse participated in a panel focusing on the roadmap to reaching a billion cryptocurrency users. He emphasized growing interest from key markets in leveraging cryptocurrencies for strategic purposes. Regulatory advancements were highlighted as a critical factor shaping the potential inclusion of U.S.-developed digital assets, such as XRP, into government-backed reserves.
Recent discussions indicate that a U.S.-backed crypto reserve could prioritize XRP, Solana, and USDC. Proponents argue that such reserves may enhance financial security while fostering blockchain innovation. Reports also mention that Senator Cynthia Lummis is investigating U.S. Marshals’ plans to sell seized Bitcoin assets amidst these developments.
Institutional Interest Signals Growing Momentum
Joseph Chalom, Managing Director at BlackRock, disclosed a significant rise in institutional investments in cryptocurrency during the past year. Speaking at CfC St. Moritz, he revealed that BlackRock’s crypto holdings, which stood at zero a year ago, now total $61 billion in Bitcoin, Ether, and tokenized assets. Chalom underscored the importance of providing credible means for institutional exposure to digital assets.
This trend aligns with proposals for strategic crypto reserves, aiming to secure blockchain assets while offering new investment opportunities. Hedge funds and pension funds are increasingly adopting cryptocurrencies, further indicating a shift toward widespread institutional participation.
State and Federal Initiatives on Crypto Reserves
Texas and Oklahoma are advancing state-level initiatives for crypto reserves. Texas Senator Angela Paxton has introduced SB 778, proposing a Bitcoin Strategic Reserve. If passed, Texas would become the first U.S. state to adopt Bitcoin as a reserve currency.
At the federal level, discussions within the administration involve creating a national crypto reserve that incorporates XRP, Solana, and USDC. An advisory council is being formed to explore strategies for maintaining U.S. leadership in blockchain innovation. Garlinghouse remains optimistic about XRP’s role due to its scalability and compliance with existing laws.
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