Cardano Creator Dispels Rumors of XRP and HBAR in Trump Crypto Reserve Plan

Speculation regarding the inclusion of XRP and Hedera (HBAR) in a potential national cryptocurrency reserve under Donald Trump’s incoming administration has been dispelled by Cardano creator Charles Hoskinson.

The controversy emerged following unsubstantiated claims by a Hedera community member that sparked intense discussion across digital asset markets.

The initial assertions came from Shawn (@oroogle) on X. According to his statements, the president-elect’s team had developed plans to establish a national cryptocurrency reserve incorporating not only Bitcoin but also XRP and Hedera’s HBAR token.

These digital assets were supposedly classified as “American Commodities” in a broader strategy to position the United States as a global leader in cryptocurrency innovation.

The claims extended beyond reserve status, suggesting comprehensive integration of both Hedera and Ripple technologies into American electoral and financial infrastructure.

Perhaps most notably, these statements included an alleged quote from Eric Trump suggesting his father’s intention to implement tax exemptions for domestically developed cryptocurrencies to reinforce American dominance in the digital asset sector.

Will HBAR and XRP Join the Strategic Reserve?

Donald Trump has shown notable support for cryptocurrencies, recently nominating a pro-crypto successor to Gary Gensler, current Chair of the U.S. Securities and Exchange Commission (SEC) and well-known anti-crypto figure.

However, Cardano founder Charles Hoskinson intervened to address what he characterized as misinformation circulating within the cryptocurrency community. According to Hoskinson, any consideration for a strategic reserve would be limited exclusively to Bitcoin, with no plans to include alternative cryptocurrencies.

This isn't accurate. The reserve is only for Bitcoin

— Charles Hoskinson (@IOHK_Charles) December 18, 2024

The cryptocurrency community’s response has been notably divided, as some participants commending Hoskinson’s effort to maintain factual accuracy in industry discourse. Others, however, questioned his motivations, suggesting potential bias due to Cardano’s absence from the purported reserve plans.

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Further skepticism regarding the feasibility of any cryptocurrency reserve has emerged from prominent industry figures. BitMEX co-founder Arthur Hayes has published a detailed analysis arguing against the likelihood of such an initiative.

Hayes emphasized that existing governmental priorities, particularly those related to social program funding, would likely preclude the establishment of a national Bitcoin reserve.

Hayes’ analysis also addressed potential market implications, warning of increased volatility in cryptocurrency markets. He specifically highlighted concerns about market instability around the anticipated presidential inauguration in January 2025, suggesting that the president-elect’s perceived cryptocurrency-friendly stance might overly influence current market optimism.

However, with rumors that Trump wants to eliminate capital gains taxes on U.S.-based cryptocurrencies, the market could end up in a better place even if the Bitcoin reserve is not established as many expect.

Disclaimer: This content is meant to inform and should not be considered financial advice. The views expressed in this article may include the author’s personal opinions and do not represent Times Tabloid’s opinion. Readers are urged to do in-depth research before making any investment decisions. Any action taken by the reader is strictly at their own risk. Times Tabloid is not responsible for any financial losses.

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