Elon Leads Trump’s DOGE Initiative to Slash Bureaucracy

The Breakdown First Five - Wednesday, November 13, 2024

Welcome back to The Breakdown First Five — the 5 most interesting and/or important stories in bitcoin, crypto, and markets to start your day.

5. Volatility

You didn’t think it would be easy did you? Bitcoin traded at both $85,000 and $90,000 yesterday as wild volatility destroyed leveraged traders on both sides. The dip was bought strongly and Bitcon enters today in the dead center of the range. With leverage flushed, spot volumes will play a key role in choosing the next direction. 

4. Bitcoin Kingdom

With all the talk of Bitcoin strategic reserves, the Kingdom of Bhutan has quietly pulled of an amazing feat. During the past few years, Bhutan has accumulated an 800,000 BTC stash. At roughly $1B in value, that’s larger than El Salvador and more than a third of the micro-nation’s GDP. Bhutan’s holdings are largely generated through mining powered by abundant hydroelectric plants in the Himalayan country. 

3. Hayes Bullish

The hedges are gone. Bitmex cofounder Arthur Hayes has shifted position, stating that the plan from here is to “get long and stay long.” Hayes compared Trump’s economic policies to the Deng Xiaoping reforms in China during the 1980s, which fostered rapid economic expansion. He believes reshoring and industrial policy will drive a wave of fiat expansion, “this is how bitcoin goes to $1 million, because prices are set on the margin.”

2. Stable Priorities 

Lobbyists led by Nic Carter descended on Washington for the first day of the lame duck session. They met with Fed Governor Michelle Bowman and congressional leaders to explain the importance of stablecoins in preserving dollar dominance. Digital Chamber President Cody Carbone is optimistic we will see stablecoin legislation passed by next summer. 

1. DOGE Unleashed

President elect Donald Trump has formally announced the new Department of Government Efficiency. Elon Musk and Vivek Ramawamy as co-heads of DOGE will “dismantle Government Bureaucracy, slash excess regulations, cut wasteful expenditures, and restructure Federal Agencies”. It’s unclear exactly how this task will be undertaken or whether DOGE will be an official government department. Dogecoin has now doubled since the election.