Peter Schiff’s Surprising Shift on Bitcoin

Peter Schiff, the long-time Bitcoin skeptic and vocal gold supporter, surprised the financial community by admitting a case could be made for a U.S. Bitcoin reserve.

Schiff’s comments have added fuel to the debate about the federal government’s role in digital assets as the White House prepares for its March 7 crypto summit.

Although still skeptical of most cryptocurrencies, Schiff compared Bitcoin’s addition to U.S. reserves with the country’s gold holdings, marking a rare shift in his stance.

Trump Sparks Controversy with Crypto Reserve Blunder

The upcoming White House Crypto Summit has highlighted the changing role of the federal government in digital assets. Controversy arose when Donald Trump mistakenly omitted Bitcoin and Ethereum from the rollout of the Strategic Crypto Reserve.

Initially announcing a reserve that included XRP, SOL, and ADA, Trump faced backlash, clarifying later that BTC and ETH would indeed be part of the reserve.

In a surprising turn, Schiff conceded the potential for a U.S. Bitcoin reserve, likening it to the country’s gold reserves. Previously critical of BTC, he acknowledged that institutional adoption of Bitcoin is becoming a prevalent trend, although he denounced other digital assets as speculative.

Schiff warned about upcoming economic challenges and criticized Trump’s handling of fiscal policies, stating:
> “Trump hasn’t prepared Americans for just how bad things are going to get…”

White House Crypto Summit’s Significance

In January, the Trump administration introduced Executive Order 14178, laying the groundwork for a U.S. Crypto Stockpile as a hedge against inflation. The initiative sparked discussion on which digital assets should be included in the reserve.

Although Bitcoin is dominant in the crypto market, debates persist on the status of other cryptocurrencies. Michael Saylor, CEO of Strategy, noted that Bitcoin is essential to the crypto economy, while David Bailey, CEO of Bitcoin Magazine, asserted that “only Bitcoin” belongs in the reserve. Conversely, Brian Armstrong, CEO of Coinbase, expressed a balanced view, acknowledging Bitcoin as the right tool but appreciating the administration’s broader objectives.

Secretary of the Treasury Howard Lutnick confirmed BTC’s status in the reserve, stating that President Trump is interested in a Bitcoin reserve, with more details to come.

Following this announcement, Bitcoin experienced a surge, climbing to $94K amid optimism over institutional recognition, although it later stabilized at $78K due to concerns over federal intervention.

Led by Crypto Czar David Sacks and Executive Director Bo Hines, the White House summit aims to solidify the crypto initiative, marking a significant moment in U.S. financial strategy.