Michael Saylor proposes the establishment of a digital asset framework and strategic BTC reserves in the United States

Self-proclaimed BTC development company MicroStrategy's founder, Michael Saylor, released a 'digital asset framework' report, in which he believes that the United States can lead the global digital economy by establishing clear classifications, legal rights frameworks, and practical compliance obligations. The report also supports the idea of creating a strategic BTC reserve to help neutralize national debt.

Digital Asset Category

Saylor first categorizes digital assets into the following categories:

Digital goods: assets without issuers, supported by digital power, such as BTC

Digital securities: assets with issuers, supported by securities, such as stocks, bonds, derivatives

Digital currency: an asset with an issuer, backed by legal tender

Digital tokens: issuer-backed fungible assets that provide digital utility

Digital NFT: Non-fungible assets with issuers

Digital ABT: assets with issuers, backed by physical assets such as gold, oil, and agricultural products

Establish its legality

Next, it is necessary to establish rights and responsibilities:

Issuer: The right to create and issue digital assets; the responsibility to ensure fair disclosure and ethical behavior

Exchange: the right to custody, trade, and transfer assets; the responsibility of asset disclosure and customer protection.

Holders: the right to self-custody, trade, and transfer assets; the responsibility to comply with local laws.

Practicality: Compliance is essential to promote innovation

Digital assets need to be reasonably Compliance to promote innovation, including:

Standardized Disclosure: Define the data structure for each digital asset category for fair public disclosure

Industry-led Compliance: allowing exchanges to collect and publish asset data

Cost Restrictions: Limit the issuance and maintenance Compliance costs. Saylor believes that the issuance cost should be less than 1% of the total assets, and the maintenance Compliance cost should be less than 10 basis points per year.

Simplified Issuance: Removing regulatory agencies from the key path of digital asset issuance, empowering exchanges to provide comprehensive services to issuers, owners, and other exchanges.

The vision of digital assets: the renaissance of the capital market

If the above goals can be achieved successfully, the United States has the opportunity to promote the revival of the 21st century capital market and unleash trillions of dollars in value creation.

Rapid issuance: Allows issuers to create and issue digital assets within a few hours or days

Cost reduction: reducing the issuance cost from 10 million to 100 million US dollars to 1 to 100 thousand US dollars.

Expand access: opening capital markets to 40 million enterprises (currently only 4,000 listed companies)

More extensive participation: enabling small businesses, artists, celebrities, and medium-sized enterprises to raise funds through tokenizing assets

Establish the United States as a global digital leader

The United States has the opportunity to promote a renaissance in the 21st century capital market and unleash trillions of dollars in value creation. Strategic digital asset policies can enhance the strength of the US dollar, mitigate national debt, and make the United States a global leader in the 21st century digital economy.

The U.S. dollar as the global reserve digital currency: will grow the digital currency market from 250 billion U.S. dollars to 10 trillion U.S. dollars

Digital Capital Growth: Expanding the global digital capital market from 2 trillion USD to 280 trillion USD

Digital Asset Leadership: Driving digital assets from 1 trillion to 590 trillion USD

Strategic BTC Reserve: Establish a BTC reserve to create 16 to 81 trillion dollars of wealth for the U.S. Department of the Treasury

Peter Schiff: Completely nonsense

Analyst Peter Schiff, known as the gold bull, commented on this: 'This is complete nonsense. The proposal will have the opposite effect. It will weaken the US dollar, exacerbate national debt, and make the United States a laughingstock. It will strip corporations of their power, hinder growth, and destroy value.'

Peter Schiff, a big fan of gold, criticized MicroStrategy founder Michael Saylor for re-increasing BTC a while ago, mocking it with an "egg man" joke, saying that MicroStrategy didn't make money and that BTC was just an old scam in a new package.

(Golden man vs BTC man, will Michael Saylor accept this new human pen battle?)

This article first appeared in Chain News ABMedia, proposing that Michael Saylor establish a digital asset framework and strategic BTC reserves for the United States.