deVere Group CEO urges the UK to create a bitcoin reserve

What’s new? Nigel Green, the CEO of asset management company deVere Group, has called on the UK government to create a national bitcoin reserve, citing similar plans by Donald Trump, who will take over the US presidency on January 20. Green emphasized that British Prime Minister Keir Starmer could “spearhead a revolutionary financial strategy” as bitcoin has the potential to strengthen the country’s economy.

Material by Pound Sterling

What else is known? The Trump administration “has catalyzed conversations around bitcoin’s role as a strategic asset, recognizing its potential to safeguard and enhance a nation’s economic power in an increasingly digitized global economy,” the entrepreneur said.

Green also referred to a bill by Wyoming Republican Senator Cynthia Lummis titled Boosting Innovation, Technology and Competitiveness Through Optimized Investment Nationwide (BITCOIN).

This document involves building a strategic reserve by purchasing 1 million bitcoins over five years to reduce the national debt.

Green emphasizes that bitcoin is a unique asset due to its decentralized structure, limited supply, and resistance to inflation.

More and more players in the traditional financial sector have noted bitcoin’s ability to act as a safe haven asset, calling it digital gold and an even more effective alternative to precious metals. Among them is Larry Fink, head of the world’s largest investment company BlackRock.

Analyst James Van Straten points to the weakening correlation between BTC and the US stock market

Since the beginning of the year, these assets have traded in the same direction only 52% of the time

Read more

“Holding Bitcoin as a strategic reserve could transform the UK’s fiscal strategy, offering a hedge against traditional market volatility and currency devaluation,” Green believes.

The businessman emphasized that for Prime Minister Starmer, the move would be “a bold, visionary step that aligns with the growing momentum in digital finance worldwide.” It would also cement the country’s leadership in digital finance.

Bitcoin has the potential to benefit not only as part of a strategy to hold on through price increases: but it would also allow authorities to diversify reserves, reduce reliance on traditional fiat currencies, and increase financial flexibility, Green states.

“Imagine a future where a fraction of the nation’s debt could be offset by the meteoric rise of its bitcoin holdings. This is not just a hedge but a proactive step toward economic resilience. It would attract crypto entrepreneurs, blockchain innovators, and digital asset investors to Britain, creating jobs and promoting growth in one of the most dynamic sectors of the global economy,” states the head of the deVere Group.

In conclusion, Green warned that competition between countries for technological leadership has become fierce, and the UK cannot afford to be left behind. With the US already moving in this direction, and other countries following suit and exploring similar strategies, the UK could fall behind in this new digital financial landscape if it does not consider the issue.

CoinShares: US authorities will purchase up to 5% of BTC supply if a national crypto reserve is created

Earlier, Trump promised to include the first cryptocurrency in the country’s reserves if re-elected as president

Read more

Earlier, the head of South Korea’s Financial Services Commission (FSC) Kim Byung-hwan said that the country is not ready to create a BTC reserve. For now, the regulator will monitor the reaction of other countries to Trump’s initiative and study the advantages and disadvantages of bitcoin as a reserve asset.

Bitcoin is up 119,2% since the beginning of the year. After Trump’s victory on November 5, the asset went up rapidly, hitting an all-time high (ATH) several times. The last record was the level above $99 531, reached on November 22. Since then, the asset has been corrected to $92 512.

The experience of some countries shows that bitcoin storage is a profitable investment decision. Thus, the authorities of El Salvador, after being the first in the world to give bitcoin the status of legal tender, began to regularly invest in the asset and have already accumulated 5945 BTC worth over $549 million. Unrealized gains from the investment amounted to $151 million, according to data from the Arkham Intelligence platform.

IMF again criticizes El Salvador for its bitcoin policy

The fund recommended that the authorities restrict public sector access to the first cryptocurrency

Read more

In contrast, German authorities sold off all 50 000 bitcoins confiscated from criminals this summer. The exchange rate at the time of the sale was around $55 000 and the profit amounted to $2,75 billion. If officials had held the asset until mid-November, they could have realized $2,35 billion more.

German lawmaker and bitcoin activist Joanna Cotar called the sale “hasty” and unwise back in early July, noting bitcoin’s benefits for diversifying assets, hedging inflation, and spurring innovation.