- Senator-elect Cynthia Lummis told the What did Bitcoin do podcast that bitcoin is a better store of value than paper money and plans to teach Congress how to use it to reduce the national debt when he takes office in January.
- “If we get to the point where we have overspent so much that things start to break down, the black swan event happens with no consideration for any fiat currency … there is a backstop available to every government in world and that backstage is bitcoin, ”Lummis said.
- The senator-elect also said bitcoin is a better store of value than paper money because the supply of the cryptocurrency is limited.
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Senator-elect Cynthia Lummis plans to expand the veil in Congress around bitcoin when she takes office in January.
On an episode of What Bitcoin Did podcast on Monday, the Wyoming Republican said bitcoin is a great store of value and can help address one of its biggest concerns – the U.S. national debt.
Lummis said the United States needs to develop a plan to retire the debt, and that it also needs to develop an “alternative route” in case of default.
“I see the other half as bitcoin, because you have the ability to invest in something that has stability in the value store,” Lummis said.
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The senator-elect said bitcoin is a better store of value than paper money because its supply is limited. Currently only 21 million bitcoins can be mined in total.
“In the case of the US currency, inflation is baked into the Federal Reserve’s US dollar plan. So it’s no wonder our purchasing power is being eroded,” Lummis said. He added that people living off their savings in retirement are constantly eroding purchasing power due to inflation.
“That won’t be the case with bitcoin. Bitcoin provides a more stable value for people who are either saving now to live comfortably in the future but also for people on fixed incomes or approaching fixed income now , “the senator-elect said.
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Lummis added that she wants to use her time as an elected official to introduce the topic of bitcoin to her colleagues in Congress and develop a path for the cryptocurrency to develop alongside fiat money, because she considers it a great store of value and “stabilization mechanism for worldwide exchanges.”
“It’s kind of something that frees governments to say, there’s backstage,” Lummis said. “If we get to the point where we have overspent so much that things start to break down, the black swan event happens with no consideration for any fiat currency … there is a backstop available to every government in the world and that backstage is bitcoin. ”
The price of bitcoin is approaching its highest ever high, and is currently priced at $ 19,363. But Lummis is not planning to sell its bitcoin anytime soon.
“I’m a HODLer,” he admitted.
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