Good day everybody,
I hope you are all having an excellent day, welcome to CryptoGod-1's blog on all things crypto. Today I will be looking at the recent news surrounding RFK Jr, who is in favour of creating a Bitcoin backed dollar while also creating tax exemptions for Bitcoin.
Robert F. Kennedy Jr.
The United States presidential candidate Robert F. Kennedy Jr. has recently admitted he is in favour of a tax exemption for Bitcoin transactions, while he has also unveiled a plan to, in part at least, back the US dollar with “real, finite assets” like Bitcoin. While Kennedy did admit he feels there are downsides to allowing Bitcoin holders to convert their coins to fiat tax-free, the advantages of such a policy would outweigh the disadvantages. He noted at a July 19th Heal-the-Divide PAC event:
“Like Singapore, Germany, Switzerland, Puerto Rico and Portugal, a Kennedy administration will exempt the conversion of Bitcoin to the US dollar from capital gains taxes. The benefits include facilitating innovation and spurring investment, ensuring citizen privacy, incentivizing ventures to grow their business and tech jobs in the United States"
The nephew of the former US President John F. Kennedy and presidential candidate made it clear that he would also be interested in backing the US dollar and US Treasury bills with hard assets, such as Bitcoin. While he would look at a multitude of different assets, he made it clear that Bitcoin, in his opinion, was the world’s hardest liquid asset. This process would start small, with around a 1% backing for Treasury bills with assets like gold, silver, platinum or Bitcoin. Depending on the outcome, then potential further investment and backing would take place on an annual basis.
Kennedy, who received higher favourability rating than both Biden and Trump in a June poll, said:
“A Kennedy administration will begin to back the US dollar with real, finite assets, such as gold, silver, platinum and Bitcoin. Backing dollars and U.S. debt obligations with hard assets could help restore strength back to the dollar, rein in inflation and usher in a new era of American financial stability, peace and prosperity."
Pro Bitcoin President?
Financial documents released in June have shown that Kennedy holds between $100,001 and $250,000 worth of BTC in a brokerage account. He has also spoken favourably about Bitcoin in the past, and has called it a “bulwark against totalitarianism and the manipulation of our money supply.”
Back on the 19th of May 2023 at Miami’s Bitcoin 2023 conference, Kennedy also announced he would be accepting political campaign donations in Bitcoin, as he looks to appeal to a growing demographic of crypto enthusiasts. He is one of the many presidential hopefuls to make sweeping crypto-based promises, as on the 14th of July the Republican presidential candidate and Florida Governor Ron DeSantis made a promise to ban central bank digital currencies (CBDC's) if elected president. DeSantis said:
“If I am the president, on day one, we will nix central bank digital currency. Done. Dead. Not happening in this country."
With Kennedy also noting that as part of his plans for Bitcoin, he would make the asset's conversions exempt from capital gains taxes, he also made it clear that by backing the dollar with Bitcoin, it would:
“Backing dollars and U.S. debt obligations with hard assets could help restore strength back to the dollar, rein in inflation and usher in a new era of American financial stability, peace and prosperity.”
The aim, it seems, from some of the presidential candidates is not only to entice Bitcoin and crypto voters, but to also spur investment and incentivize ventures to grow their business in the U.S. down the line instead of turning towards the existing crypto-friendly hubs such as Singapore or Switzerland. This move would help to ensure the United States are once again in the conversation when it comes to this large and evergrowing industry. Considering they are one of the largest entities when it comes to Bitcoin and Crypto mining, it makes sense that the U.S. would look to become a leader in the innovation side of crypto and Web3. Whether or not these presidential hopefuls will stick to their words is another thing altogether, but for now it at least sounds positive.
Have a great day.
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