In a recent discussion, Isaiah Jackson – the author of “Bitcoin & Black America” – discussed how the United States should consider utilizing bitcoin as a potential reserve currency should economic factors turn sour.
Jackson: Bitcoin Is the Ultimate Financial Tool
As it stands, gold is widely considered the primary reserve asset if things wind up taking a tumble. However, gold has failed somewhat to react to the rising inflation being witnessed in America today, and some are suggesting bitcoin has similar strengths and properties that could allow it to take the precious metal’s place.
Jackson has hinted other countries have already started looking into this route of making bitcoin a reserve asset, and that the U.S. needs to step up to the plate. He says:
Bitcoin’s best use case here is probably more as a store of value, as a savings account for the long term. If we get to a point where we have an economy where that’s forced upon us, like other countries, then a medium of exchange era will come quicker than we think.
Jackson also stated that bitcoin was initially designed to serve as a payment tool; something that people could use to purchase goods and services, and the desire to use crypto for this purpose, he says, will only grow with time. He commented:
I believe that the original goal of bitcoin and now the goal of cryptocurrencies to become payment systems will come because of demand and because people want choices. They want the freedom to use whatever currency they want. With bitcoin, it can be a great base layer, and building on top of that, building other cryptocurrencies that can make those payments is good for everybody.
He also suggested that bitcoin could potentially replace the U.S. dollar under the right circumstances. This sentiment was also recently expressed by Senator Rand Paul of Kentucky. Recently, bitcoin has been adopted in regions like El Salvador as legal tender, and Jackson is confident the U.S. could learn a lot from this scenario. He stated:
I think that we should take a hard look, much like Newt Gingrich said the other day, that the Federal Reserve should take a hard look at bitcoin as a reserve asset, and we should not stop innovation with legislation. We should encourage it, and I believe that that will bode well for us in the future.
How Did You Become So Influential?
When discussing getting involved in bitcoin and becoming a bitcoin influencer, Jackson commented:
Well, the number one thing in my community, I believe, is education, and in any community really. Bitcoin is the hardest part of technology and finance put into one, so I believe that educating my community as a template for others as well because bitcoin is for everybody. I just wanted to make sure that we had an opportunity to take advantage of this technological revolution, which we were not able to do during the internet era.