Forbes Casts Bitcoin as Neutral Reserve Asset as Dollar Share Slips to 58%

1 articles · Updated · crypto.news · Aug 20

A Forbes commentary argued Bitcoin could serve as a politically neutral reserve asset after a resurfaced JD Vance video revived debate over whether dollar dominance hurts parts of the U.S. economy.
The case rests on the Triffin dilemma: global demand for dollars lowers U.S. borrowing costs and import prices but can keep the currency strong, squeezing exporters and manufacturers.
Birnbaum said dollar-backed stablecoins do not solve that conflict because they extend demand for U.S. liabilities; about 97% of the stablecoin market is dollar-denominated and regulated issuers must hold cash or short-dated Treasuries.
Bitcoin’s appeal in that framework is supply independence from any state’s debt or trade policy, though its 17-year history, volatility, custody demands and limited sovereign adoption still make it far from standard central-bank practice.
The debate comes as the dollar’s reserve share has fallen to roughly 58% from 72% in 2001, while central banks have mainly diversified into gold, buying more than 1,000 metric tons annually from 2022 through 2024.