During a recent installment of the Joe Rogan Experience podcast, former President Donald Trump expressed his serious intention to eliminate the federal income tax in the United States. Instead, he proposed generating revenue through tariffs imposed on imports. Trump drew inspiration from the tariff policies implemented by former US President William McKinley in the 1890s, which he believed greatly benefited the country. He argued that implementing similar policies today would effectively fund the government. According to Trump, the tariffs generated such substantial revenue that public officials struggled to allocate the funds effectively.
Critics have raised concerns that imposing tariffs on imports would essentially result in a hidden tax, leading to increased prices on goods. However, Trump firmly believes that tariffs can stimulate demand for the US dollar, safeguard domestic workers, and enhance the appeal of US exports.
In addition to his proposals for tariff-based revenue, Trump has also suggested the use of Bitcoin (BTC) to alleviate the staggering national debt of around $35 trillion. During an interview with Fox News’ Maria Bartiromo, he floated the idea of repaying creditors by providing them with Bitcoin, effectively erasing the debt. Asset manager Bryan Courchesne expressed that while establishing a Bitcoin strategic reserve for the US government would be challenging, it is not impossible. Courchesne proposed that the Department of Justice could transfer the approximately 200,000 BTC seized through various law enforcement actions to the United States Treasury, gradually accumulating the digital currency as a strategic reserve asset. However, Courchesne acknowledged that bureaucratic obstacles would need to be overcome to establish such a reserve.
Interestingly, Trump is not the only presidential candidate to consider the idea of a Bitcoin strategic reserve. Former independent candidate Robert F. Kennedy Jr. also advocated for Bitcoin as a means to safeguard the US dollar earlier in 2024, although he eventually withdrew from the race.