US President Donald Trump’s planned crypto reserve is likely to be mostly Bitcoin, according to Bitwise chief investment officer Matt Hougan. Despite initial plans to include various altcoins like Solana, XRP, and Cardano, Hougan believes that the final reserve will be “nearly entirely Bitcoin” and larger than expected.
This prediction comes after Trump announced that Bitcoin and Ether would be “the heart” of the reserve, sparking initial excitement and later concern among crypto commentators.Some industry leaders, including Coinbase CEO Brian Armstrong, have argued that only Bitcoin should be included in the reserve, citing its status as “a successor to gold”
Hougan agrees that the inclusion of smaller cryptocurrencies complicates matters, but believes that the market is “misreading things” and that the reserve will ultimately prove bullish for Bitcoin. Commerce Secretary Howard Lutnick has also hinted that Bitcoin may receive special status in the reserve.
The establishment of a US crypto reserve could have broader implications, with Hougan suggesting that other countries may feel pressured to create their own reserves, accelerating global adoption of cryptocurrencies. Additionally, Hougan believes that the US will hold onto any crypto it buys for the long term, similar to its gold reserves.
