Trump Pushes Bitcoin as Reserve

CRYPTO
Trump Pushes Bitcoin as Reserve

A recent paper by the Bitcoin Policy Institute titled The Case for Bitcoin as a Reserve Asset argues that central banks should consider Bitcoin as a hedge against multiple financial risks. Currently, central banks hold around $2.2 trillion in gold, but economist Matthew Ferranti suggests that Bitcoin offers similar benefits as a reserve asset. He emphasizes Bitcoin’s role as an "effective portfolio diversifier" due to its low correlation with traditional financial assets.

The paper highlights Bitcoin's lack of counter-party risk, making it a strong safeguard against sovereign defaults and financial sanctions, which Ferranti labels as "selective defaults" affecting nations like Venezuela and Russia. While Bitcoin may not be suitable for every central bank, its store-of-value characteristics mirror those of gold, especially in countering rapid currency depreciation.

The report resonates with increasing calls from US politicians to establish a strategic Bitcoin reserve. Senator Cynthia Lummis recently introduced the Bitcoin Strategic Reserve Bill, aiming to gradually acquire 5% of Bitcoin’s total supply for the US Treasury. Prominent figures like Michael Saylor have praised this initiative as a modern equivalent to the Louisiana Purchase, seeing Bitcoin’s adoption as a pathway to future economic strength.

Former President Donald Trump has recently shown a bullish stance on Bitcoin, recognizing its potential as a strategic reserve asset. During his keynote address at the Bitcoin 2024 conference in Nashville, Trump emphasized Bitcoin's ability to combat inflation and secure the country's financial future. He hinted at using the digital asset to pay down the national debt, highlighting its capped supply and inflation-resistant nature as key strengths. Trump's enthusiasm aligns with ongoing legislative efforts, like the introduction of the Bitcoin Strategic Reserve Bill, which aims to solidify Bitcoin’s role in the U.S. Treasury.
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APPLE
Apple Reclaims China Smartphone Market

Apple returned to the top five smartphone vendors in China in Q3 2024, driven by the launch of the iPhone 16, despite being outpaced by domestic competitor Huawei. According to IDC, Apple secured the second-largest market share at 15.6%, a slight drop from 16.1% last year. Meanwhile, Huawei held third place with 15.3%, showing a 42% year-on-year growth in shipments, signaling a significant comeback. The rivalry intensified with Huawei’s new Mate 60 and advanced foldable devices, challenging Apple in one of its key markets.

Apple faces mounting pressure as Huawei capitalizes on its home market resurgence. In the second quarter, Apple had dropped out of the top five rankings by market share. However, the iPhone 16’s new AI features, marketed as Apple Intelligence, aim to boost its position in China. Apple CEO Tim Cook’s visit to China and meetings with officials and tech leaders suggest efforts to strengthen partnerships amid Huawei’s rapid recovery.
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ELECTION
Tariffs Over Income Tax, Trump Says

In an interview with Joe Rogan, Donald Trump doubled down on his plan to replace income taxes with tariffs. Trump proposed eliminating income taxes on tips, overtime pay, and Social Security benefits, alongside implementing a universal tariff policy on all imports. This is part of a broader tax overhaul in which he envisions tariffs counterbalancing lost income tax revenue. Trump argued that tariffs would make foreign nations pay for accessing U.S. markets, describing them as a "big price" for taking American jobs and factories.

However, economic experts express skepticism. Garrett Watson, a senior analyst at the Tax Foundation, estimates that Trump's proposed tariffs would generate around $3.8 trillion over 10 years, far short of the $33 trillion income taxes would yield in the same period. Experts warn that higher tariffs could raise costs for U.S. importers and consumers. Despite criticism, Trump continues to pitch this plan as a major pillar of his economic strategy for voters.
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WAYMO
Waymo Secures $5.6 Billion Funding

Waymo has raised $5.6 billion in a new funding round, largely backed by Google’s parent company, Alphabet. The company plans to use the funds to expand its autonomous taxi service to Austin and Atlanta by early next year. This new capital infusion brings Waymo’s total fundraising to $11.1 billion, following earlier rounds in 2020 and 2021.

Waymo currently operates in San Francisco, Los Angeles, and Phoenix, offering curbside transport at Sky Harbor International Airport through its Waymo One system. The company also announced the launch of fully autonomous freeway operations in Phoenix and San Francisco.

The additional funding will help Waymo further develop its Waymo One autonomous driving platform, designed for a variety of business applications. In July, Alphabet contributed $5 billion as part of a multi-year investment. Waymo’s driverless fleet logged 25 million miles by that time, surpassing competitors like Uber, which exited the self-driving market four years ago before collaborating with Waymo.
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Meme of the day

Word of the day
Usurp

To usurp something (such as power) is to take and keep it by force and without the right to do so. Usurp can also mean "to take the place of by or as if by force."

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