The Auditor of Alabama publicly proposes to establish a strategic Bitcoin reserve

On December 11, recently, Alabama State Auditor Andrew Sorrell publicly proposed the establishment of a Strategic Bitcoin Reserve (SBR). The proposal is based on the growing interest in SBR among federal and state policy makers, as well as the significant increase in bitcoin prices following Donald Trump's election as president (he campaigned on supporting bitcoin policies).

In an interview with the media, Sorrell emphasized his belief in the inevitability of long-term success for Bitcoin and cryptocurrencies: "The debate over whether cryptocurrencies will succeed has ended." He further highlighted the value of digital assets in expanding national investment portfolios: "So far, cryptocurrency is a $3 trillion asset class, while national investment in cryptocurrency is zero. It's also the fastest-growing asset class with the greatest potential for price appreciation." In addition, he stated that there are three main goals to establish an SBR: portfolio diversification; positioning towards crypto-friendly; and hedging against currency-related risks. "What would happen if inflation rate reaches 8% again? The value of Bitcoin is not affected by dollar trends. It will strengthen our country's balance sheet and can be used as collateral for future debt issuance," he said. (Bitcoinist)