Novogratz: The likelihood of Trump establishing a Bitcoin reserve is very low, but if it happens, then $500,000 is in sight!

The billionaire executive of cryptocurrency investment firm Galaxy Digital, Trump's likelihood of incorporating Bitcoin into the U.S. strategic reserve is low.

Novogratz stated in an interview with Bloomberg on Wednesday, "I still think the chances are slim." He pointed out that although the Republican Party currently controls the Senate, the number of seats is still less than 60, which is insufficient to ensure the smooth passage of this proposal.

"I think the wise thing for the U.S. to do is to utilize the Bitcoin they have to show the world that it is committed to becoming a leader in global technology and digital assets... I don't think the dollar needs any backing."

If the U.S. were to establish a Bitcoin strategic reserve, Novogratz predicts its price would soar to $500,000. Last night, after Bitcoin broke through $93,000 to reach a new high, it turned downward.

"I believe Bitcoin's price will reach $500,000"

Novogratz was a partner at Goldman Sachs and Fortress Investment Group. This week, his net worth surged to approximately $5.4 billion, an increase of $3.8 billion since the end of 2022. Following Trump's victory, his digital asset company set a record for the largest transaction of the year on November 6.

"If we had a Bitcoin reserve, as someone who owns a lot of Bitcoin, I wouldn't be sad," Novogratz said:

"I believe Bitcoin's price will reach $500,000. This is a different paradigm because it forces other countries to join in as well."

Since Trump's victory last week, Bitcoin has risen over 30%, pushing the overall value of the digital asset market to its highest level since 2020.

Trump was skeptical about cryptocurrencies during his first term, but he has since become an advocate for them, with his family even launching a decentralized finance project.

He stated at a Bitcoin conference in July that the U.S. would retain all the Bitcoin held by the government and, once he becomes president, would "transform this massive wealth into a permanent national asset for the benefit of all Americans." Some supporters have suggested that the U.S. purchase about 1 million Bitcoins, which would be worth over $90 billion at current prices.

Novogratz is a long-time supporter of the Democratic Party. Earlier on Wednesday, he criticized Massachusetts Senator Elizabeth Warren's remarks on X, which attacked Trump's announcement that Musk would lead the new Department of Government Efficiency (DOGE), a play on one of Musk's favorite internet memes, as Musk has been an advocate for the digital token Dogecoin.

Warren has been a vocal critic of cryptocurrencies