The analyst assessed the US plans to create a strategic reserve in cryptocurrency

If the United States creates a crypto reserve, it may encourage other countries of the world to create similar reserves in cryptocurrencies, Alexander Potavin, an analyst at Finam Financial Group, told Izvestia on March 7.

According to him, this may be especially interesting for those states that in recent years have sought to diversify their savings or want to reduce dependence on the dollar. This could potentially lead to an increase in demand for well-known and liquid cryptocurrencies such as bitcoin and Ethereum, the expert explained.

"However, disputes have already begun regarding the creation of a reserve in the crypt, since it is not entirely clear how the authorities will select coins for purchase and at what expense this will be carried out. The high volatility of cryptocurrencies, as well as the lack of transparency of the political goals of such investments, raises questions," Potavin said.

The analyst drew attention to the fact that there are no specific details in the strategic decree signed by US President Donald Trump on bitcoin reserves, which disappointed market participants.

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"It is possible that some questions will be answered on March 7 during the summit on cryptocurrencies at the White House. In the meantime, there are still too many questions and uncertainties to make predictions for the future with confidence. So far, it is known that the US government will not use taxpayers' money to finance the crypto reserve. There will be no purchases of tokens at the expense of the American budget. Since there will be no new money on the market, this has cooled investor sentiment on cryptocurrencies," the expert added.

In his opinion, a similar approach can be applied by other states when creating national crypto funds, so the dollar will not lose its importance as the world's leading currency. At the same time, the emergence of crypto reserves in different countries can accelerate the development and implementation of regulatory rules at the international level.

States can begin to cooperate in the field of regulation in order to minimize the risks associated with the use of cryptocurrencies.

"The creation of cryptocurrency reserves can increase investor confidence in the crypto market in the long term, stimulating wider adoption of digital currencies. These are probably the prospects for the next decade. But without the forced squeezing of consumers into cryptocurrencies, this process may be delayed indefinitely, since the use of digital currency does not yet provide any clear advantages to businesses and the public," Potavin said.

Trump signed a decree on March 7 on the creation of a strategic reserve in cryptocurrency. Experts interviewed by Izvestia suggested that Russia may have its own crypto reserve.