Bitcoin: A New Chapter in U.S.-China Competition
The world of digital money, or cryptocurrencies, is changing fast. A new battle is starting between the United States and China. In March 2025, the U.S. created something called a “Strategic Bitcoin Reserve”. Now, everyone is wondering if China will do the same. This could change how we use and think about cryptocurrencies worldwide.
The U.S. Moves First
On March 7, 2025, the U.S. President signed a order to create a “Strategic Bitcoin Reserve” and a “Digital Asset Stockpile”. This means the U.S. government will keep Bitcoin and other digital money it has seized during criminal cases. Right now, the U.S. has about 198,109 Bitcoin, which is worth over $17 billion[1][3][5]. The U.S. plans to keep these Bitcoins as a long-term investment, not sell them. This is a big change in U.S. policy towards cryptocurrencies[3][5].
China’s Next Move?
China is watching closely. In 2020, Chinese authorities found nearly 195,000 Bitcoin from a scam called PlusToken. They took these Bitcoins and put them in the national treasury[1][3][5]. But no one knows if China still has these Bitcoins. Some people think China might have sold them already, because China doesn’t like cryptocurrencies much. But there are also reports of secret meetings in China talking about Bitcoin. So, maybe China is thinking about its own Bitcoin reserve strategy[1][3].
What If China Follows the U.S.?
If China decides to create its own Bitcoin reserve, it could become one of the biggest Bitcoin holders in the world. This would give China more power in the cryptocurrency market and maybe even challenge the U.S.[1][3]. Here’s how:
- Economic Impact: By keeping lots of Bitcoin, China could protect itself from Western influence in the cryptocurrency world and stay strong in global finance[1][3].
- Market Dynamics: If both the U.S. and China start collecting Bitcoin, it could make the market more unstable and maybe even increase Bitcoin’s price[5].
Hong Kong’s Role
Hong Kong is very important for China’s plans with digital money. Because Hong Kong has less strict rules about cryptocurrencies, it can test new Bitcoin policies before China uses them nationwide[1]. Recently, people in Hong Kong’s government talked about studying how Bitcoin ETFs work in the U.S. This shows how Hong Kong might influence China’s approach to cryptocurrencies[1][3].
A New Era in Global Finance
Everyone is watching to see what happens next with the U.S. and China in the Bitcoin market. No matter what China does, it’s clear that creating national Bitcoin reserves is a big change in global finance. The future of cryptocurrencies depends on what these two countries do next.
—
Sources:
– Coinfomania
– Cointelegraph
– CoinCentral