Crypto-friendly millionaire Anthony Pompliano called the US Altcoin Reserve "Crazy," Explained Why It's Not Possible!

The suggestion of US President Donald Trump to create a cryptocurrency strategic reserve has sparked major reactions, while financial expert and investor Anthony Pompliano described this idea as "crazy."

The founder and CEO of Professional Capital Management, speaking on Varney & Co, voiced doubts about the inclusion of multiple cryptocurrencies in the proposed reserve.

The plan, which is reported to involve holding five or six different digital assets, has drawn comparisons to a hedge fund. Pompliano questioned how the government would determine asset allocation within the reserve, especially how it would balance assets such as Bitcoin and Solana.

How do you decide if you want more Solana and less Bitcoin? How will you do this? We don't know all the details yet, but as far as we know, this madness right now.

Pompliano emphasized that the discussions of Trump's first election campaign revolved around Bitcoin's limited supply and its status as a global store of value, highlighting a strategic reserve specific to Bitcoin. However, recent reports suggest that the reserve could include multiple cryptocurrencies based in the US rebranded as a 'first America' crypto initiative.

Pompliano explained, "Bitcoin is strategic because it has a limited supply, is supported by the most powerful computing network, and is not entirely centralized," and added: "If we randomly add altcoins to the reserve, why not include Tesla, GameStop, or hedge fund interests? This approach only turns the matter into speculation."

Bitcoin reserves have become a growing trend among some countries such as El Salvador, Bhutan, Russia, and the UAE. It was reported that the Abu Dhabi Sovereign Wealth Fund has also started buying Bitcoin. Pompliano stated that these countries see Bitcoin as similar to gold and hold it as a strategic asset.

Countries are treating Bitcoin like gold and stocking it in their balance sheets. That's the strategic value.

Pompliano suggested that Trump's inclusion of multiple cryptocurrencies could be a negotiation tactic, referring to the president's well-known bargaining style, he suggested that the initial plan could ultimately result in a starting point with only a Bitcoin reserve.

"If you think about the Art of the Deal, maybe five or six entities want it, but only willing to negotiate up to Bitcoin," he suggested and added, "I don't know if that's what he's doing, but I hope it is."