President Trump's plan to include altcoins in a strategic crypto reserve has split the crypto community, with some perplexed by the proposed addition of a number of high-profile tokens.
Revealed Sunday on Truth Social, the proposed crypto plan would create a strategic reserve that seeks to include XRP, Solana, Cardano, Bitcoin, and Ethereum.
President Donald Trump’s announcement triggered significant upswings across the crypto market after a broader dip that followed Bybit’s $1.4 billion theft late last month.
Crypto proponents were quick to voice their disapproval, arguing for a Bitcoin-only approach rather than incorporating what some term as "altcoins" or worse, "shitcoins."
Bitwise CEO Hunter Horsley said in a post on X that he "imagined" the Strategic Reserve "would be just Bitcoin."
"That makes the most sense to me," Horsley said, adding that while many "crypto assets have merits" what's at stake "isn't a US investment portfolio" but rather a reserve. "Bitcoin is the undisputed store of value for the digital age."
Coinbase CEO Brian Armstrong agreed, claiming only Bitcoin being included in the reserve “would be the best option” as a “successor to gold."
Armstrong also advocated for a market cap weighted index of cryptos to “keep it unbiased" if more “variety" was needed. However, he also acknowledged that the first option "is easiest."
Armstrong's post was met with support from Adam Back, but was also noted with derision from JAN3 CEO Samson Mow.
"Even the shitcoin peddlers don't want a shitcoin reserve," Mow said, posting a screenshot of Armstrong's tweet.
The announcement that altcoins would be included also drew comparisons to tech stocks.
Anthony Pompliano, founder of Professional Capital Management, posted on X that if the U.S. were to "put altcoins" on its balance sheet, it might as well "start buying tech stocks."
"Very different risk profile from those assets compared to sound money principled assets like gold and bitcoin," Pompliano said.
Despite the tirades, supporters celebrated Trump's announcement.
Brad Garlinghouse, CEO of Ripple, defended the move claiming “maximalism is the enemy of the industry's progress.”
“Glad to see POTUS recognizing we live in a multichain world and that we're finally moving past Bill Hinman and the Biden administration's SEC's very broken thinking," Garlinghouse said.
Markets responded positively despite the divided sentiment on Sunday with Bitcoin rising 11% to more than $94,000 while Ethereum increased 10% to above $2,400 on the news.
Altcoins also saw gains with Cardano surging 60% while XRP jumped about 27%. Solana, meanwhile, increased 25% following the announcement, according to data from CoinGecko.
Edited by Sebastian Sinclair