this post was submitted on 17 Dec 2024
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I can't think of any. The current oil reserve is supposed to be used in the case of another oil embargo. But its actual use is to lower gas prices when the administration in power needs a political win.

I actually think the purpose of a Bitcoin reserve is to temporarily increase the price so tech-bros (re: Elon) can sell at a massive profit. Then buy back at a much lower price. It's just a way to indirectly transfer federal dollars into administration pockets.

I can't find any reason for the government to buy crypto and hold it in reserve.

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[–] I_Has_A_Hat 2 points 23 hours ago (2 children)

Should there be a collapse of the US economy, or global markets stop using the dollar standard, or sanctions placed on US banks by other countries, a store of alternative currency is good to have.

[–] Shialac 16 points 23 hours ago

Oh yeah sure, Bitcoin will be worth a lot when the US economy collapses. lol

[–] [email protected] 5 points 23 hours ago (2 children)

Isn't that what gold is for? Does US still reserve gold? I seem to remember both James Bond and Die-Hard fighting to protect the gold reserve.

[–] I_Has_A_Hat 6 points 21 hours ago* (last edited 21 hours ago) (1 children)

If the US reserves gold, why do they also reserve silver? Why do they reserve grain, oil, steel, cheese, or foreign currencies?

Because it's dumb to put all your eggs in one basket and the more you diversify, the safer it is. Like it or not, Bitcoin is an asset; and barring a global disaster that knocks out all electronics, it's unlikely to go away. It makes sense to have some and sit on it.

Will there come a time when everything falls apart and the only way to trade with another power is with tons of wheels of cheese? Probably not, but if it does, the US is ready.

Will the same ever happen with Bitcoin? Probably not, but if it does, the US is ready.

[–] Blue_Morpho 0 points 20 hours ago* (last edited 20 hours ago) (2 children)

Magic the Gathering cards are an asset. Beanie babies are an asset.

Gold and silver have a 5,000 years of history of currency. All other items like oil and cheese are commodities critical to life.

If everything falls apart you can transfer a ledger of who owns the cheese without needing to physically move the cheese. Bitcoin doesn't work without a working global internet of computers. It is more fragile than any traditional alternative.

[–] [email protected] 3 points 13 hours ago

It's nice to fantasize about but realistically we're never getting back to a world without a working global internet of computers.

[–] I_Has_A_Hat 2 points 20 hours ago

Ok, then don't buy any πŸ€ͺ

[–] [email protected] 2 points 23 hours ago (2 children)

Allegedly. I personally knew a pilot who flew weekly trips in the 70s to Asia in C-130s filled to the maximum load of gold. So I have my doubts. Several years ago there was a push from Congress to inspect the gold reserves because nobody had laid verifiable eyes on it in a while. But I do not know how that worked out. It’s a great rabbit hole for you to follow - let us know what you find!

[–] [email protected] 2 points 12 hours ago (1 children)

If gold was missing from US reserves, they wouldn't admit it.

[–] Blue_Morpho 2 points 11 hours ago

I replied to someone who posited the collapse of the US economy such that alternatives to money would be necessary.

[–] Blue_Morpho 8 points 22 hours ago

If it was a secret, the pilot would not be told. If it wasn't a secret, it would be documented.

Even assuming the story is true there is a huge leap between gold being shipped and it being Fort Knox Gold.

For example many countries stored their gold at the US federal reserve for safety. China would have sent their Gold to the US during WW2 because they were overrun by Japan. After Nixon normalized relations with China, they would have gotten their Gold back.

https://www.newyorkfed.org/aboutthefed/goldvault.html