Which Crypto Assets Belong in a Reserve? This VC Says Not XRP and ADA - Ep. 796
Mar 7, 2025
auto_awesome
David Nage, a VC at Arca with deep insights into crypto investments, discusses the latest market tumult sparked by Trump's controversial posts about a crypto reserve. He critiques the inclusion of Cardano and XRP, favoring Bitcoin as a prime candidate for national reserve status. Nage also shares skepticism about the guest list at the White House Crypto Summit, suggesting it's skewed toward centralized interests. With ongoing market struggles, he explores possible catalysts for recovery and the intersections of politics with digital assets.
David Nage emphasizes that Bitcoin is a strong candidate for a national reserve asset, reflecting its growing acceptance and stability.
The exclusion of key decentralized finance voices from the White House crypto summit raises concerns about balanced representation in regulatory discussions.
Deep dives
Encouragement for Engagement
The host urges listeners to engage with the podcast by subscribing and leaving five-star reviews, emphasizing that this support helps others discover the show. They note that reviews may be featured on an upcoming episode, fostering a sense of community involvement and listener appreciation. This call to action highlights a recognition of the podcast's growth and the value of audience feedback in shaping its content. The importance of listener interaction is framed as a pathway to enhance the podcast's reach and impact.
Response to Government Policy on Bitcoin
An executive order from President Trump was announced, establishing a U.S. strategic Bitcoin reserve funded by forfeited government assets, avoiding costs to taxpayers. This move spurred immediate reactions in the crypto markets, with Bitcoin's price declining significantly after the news broke. Analysts speculate that the government’s future strategies may involve acquiring more Bitcoin without direct taxpayer expense. The episode delves into the potential implications of this reserve on market stability and broader acceptance of digital assets.
Market Reactions to Political News
The volatile nature of the crypto market was discussed in relation to recent announcements from the White House, including a proposed reserve of XRP, Solana, and ADA. The cryptocurrency market saw fluctuations in response to political commentary and potential inclusion of various digital assets in government holdings. Historical parallels were drawn to the Reagan administration's impact on markets, suggesting that the sentiment and structure of new regulations could significantly shape future market behaviors. Analysts believe that genuine policy development is crucial for stabilizing and driving the sector forward.
Exclusions and Representation in Crypto Policies
The exclusion of Charles Hoskinson, founder of Cardano, from key discussions at the White House summit raised concerns about adequate representation in the shaping of crypto policy. While certain assets like XRP and Solana are being actively advocated for, the absence of figures associated with decentralized finance highlights a tension in the current regulatory environment. The discussion underscored the need for input from diverse representatives within the industry to ensure that regulations encourage innovation rather than hinder it. Observers expressed hope that the format of future summits could be broadened to include a wider range of perspectives and expertise.
Trump’s latest crypto moves have sent the market on a rollercoaster.
First, he posted on Truth Social that a U.S. crypto reserve would include XRP, Solana, and Cardano. A couple hours later, he had to clarify that Bitcoin and Ethereum would also be included. The market jumped 12%—only to crash the next day.
Meanwhile, the White House crypto summit is happening Friday, and not everyone is happy with the guest list. Some say it’s a step toward real regulation, while others argue that without DeFi voices, it’s just a meeting of centralized players.
So what does it all mean? David Nage, VC at Arca, joins Unchained to talk about:
4:55 Why David is unfazed by crypto’s swings around Trump’s reserve posts
9:03 David’s take on Cardano and XRP being named for the crypto reserve list
18:11 Why he thinks Bitcoin is a strong candidate for a national reserve asset
22:52 Why David isn’t impressed with the guest list at the White House Crypto Summit
26:26 Why the markets have been struggling—and what could finally turn things around
28:52 News Recap
Will real crypto policy changes emerge from this? Or is this just another distraction in a year full of big promises?
Visit our website for breaking news, analysis, op-eds, articles to learn about crypto, and much more: unchainedcrypto.com