US Treasury Recognizes Bitcoin As "Store Of Value"

Samantha Luan

Cryptocurrency

Economic

Forex

Summary:

U.S. Treasury Secretary Scott Bessent has officially classified Bitcoin as an 'emerging store of value,' akin to gold, marking a critical shift in governmental recognition.

Key Takeaways:

● Bitcoin officially recognized as "store of value" by US Treasury.

● Potential catalyst for institutional Bitcoin investment.

● Shifts in regulatory and market sentiment likely.

US Treasury Recognizes Bitcoin as 'Store of Value'

This governmental acknowledgment signals increasing institutional acceptance, potentially driving significant asset reallocation into Bitcoin, affecting regulatory perspectives and market dynamics in the cryptocurrency landscape.US Treasury Secretary Scott Bessent has labeled Bitcoin as an "emerging store of value," directly equating it to gold. Officially stated, this represents a significant shift in governmental stance on Bitcoin's role as a financial asset.

The statement comes from Scott Bessent, known for his background with Soros Fund Management. His comparison of Bitcoin to gold highlights a growing institutional recognition, altering the regulatory and market sentiment toward Bitcoin.This announcement may provoke an increase in Bitcoin allocations by institutions. Possibly spurring shifts from traditional assets, it underscores Bitcoin's new role as a financial hedge. Market participants may anticipate increased portfolio rebalancing favoring Bitcoin over bonds or gold.

The implication extends into legislative discussion, emphasizing Bitcoin's potential reserve role within U.S. strategy. This reclassification could influence legislative actions, thereby addressing Bitcoin's position alongside traditional asset forms in economic planning.Government recognition of Bitcoin could modify regulatory landscapes across digital currencies. Anticipated effects might include heightened market activity and price adjustments, similar to Bitcoin's historical reactions to influential endorsements.

Expert analysis indicates precedents when major institutional recognition led to notable Bitcoin price movements. Continued analysis and observation could illuminate the financial, regulatory, and strategic impacts, reinforcing Bitcoin's evolving market role.Scott Bessent, Secretary of the Treasury, United States, "Bitcoin is becoming a store of value, gold’s has historically been a store of value, a lot of different stores of value over time"

Source: CryptoSlate

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Gerik

Economic

Commodity

Stability With a Downward Bias

According to a Reuters poll of 37 analysts and economists, the average Brent crude price is expected to hover around $67.84 per barrel in 2025, while U.S. West Texas Intermediate (WTI) is projected to average $64.61. These forecasts are nearly unchanged from last month and reflect persistent market stagnation. Analysts predict Brent will dip to $62.98 by Q2 2026 as oversupply concerns mount.

So far in 2025, Brent and WTI have averaged $70.60 and $67.46 respectively, indicating that the current pricing is already under mild pressure and unlikely to rally in the near term without a major supply disruption or policy reversal.

Tariff Uncertainty Dampens Demand Expectations

One of the most significant downward pressures on oil comes from policy uncertainty surrounding President Donald Trump’s upcoming August 1 tariff announcement. With markets bracing for a wave of new U.S. trade barriers, analysts worry that global trade and industrial activity could contract, leading to weaker energy consumption.

Thomas Wybierek of NORD/LB points out that “uncertainty surrounding President Trump’s tariff plans affect markets and the demand side,” compounding concerns about a potential mismatch between stagnant demand and rising supply. The situation is especially sensitive for oil traders as they attempt to price in a macroeconomic slowdown without definitive guidance on trade policy outcomes.

OPEC+ Output Growth Adds to Supply-Side Pressure

On the supply front, OPEC+ has resumed output expansion after a period of restraint. Eight member nations began increasing production in April, and another boost of 548,000 barrels per day is scheduled for August, with a similar increase anticipated for September. If fully executed, these moves could contribute to a market surplus, particularly in the face of tepid demand growth.

While the International Energy Agency projects global oil demand to grow by 700,000 bpd in 2025, the analysts polled by Reuters expect a slightly stronger increase of 797,000 bpd. Still, most believe the fourth quarter will see a slowdown due to seasonal factors and broader economic uncertainties, precisely when OPEC+ output may peak.

Geopolitical Risk Premium Moderates Decline

Despite bearish fundamentals, geopolitical tensions particularly in the Middle East and Eastern Europe remain a supportive factor for oil prices. The ongoing Russia-Ukraine conflict and the volatile security environment in the Middle East are expected to contribute a modest risk premium that will help prevent Brent from falling below the low $60s in 2026.

As Cyrus De La Rubia of Hamburg Commercial Bank notes, “geopolitical factors will continue to support oil prices on the margin,” ensuring some degree of price resilience.

The oil market in 2025 is caught in a delicate balancing act. While risk factors such as geopolitical tensions and infrastructure bottlenecks could occasionally lift prices, structural headwinds from expanding OPEC+ supply and demand-side uncertainties linked to Trump’s tariff agenda are likely to keep oil prices range-bound or slightly declining. The market is currently in a holding pattern, with volatility expected to spike around key geopolitical and policy events, such as the August 1 tariff decision and the upcoming OPEC+ meetings.

Source: Reuters

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Michelle

Economic

Political

Global leaders are rushing to seal deals with US President Donald Trump before an Aug. 1 deadline, when countries without agreements will be hit with the heaviest tariffs of up to 50%. Most countries are still lacking a trade deal, and key details are scant for those who have one.

There have been a flurry of last-minute announcements from Trump, including tariffs of 15% on imports from South Korea. India was hit with 25% levy that was accompanied by criticism of its purchases of Russian energy and weapons. Trump also blasted India for joining BRICS, a group he called “anti-the United States.”

Trump earlier shocked traders with new tariff rules on copper that spared refined copper — the biggest category of the metal — from a 50% levy, sinking prices in New York by a record. Still, in general, financial markets are little affected by either the deals or the imminent deadline. MSCI’s Asian stock benchmark dipped 0.6% on Thursday, with India’s Sensex index down 0.4%. A gauge of the dollar’s strength traded near its highest level since May.

The situation between the US and China remains favorable for now. Speaking in the White House on Wednesday, Trump said the US will have a “very fair deal with China.” Either way, for a majority of countries, the clock is ticking louder.

India is weighing options to placate the White House, including boosting US imports, and has ruled out immediate retaliation to Trump’s surprise 25% tariff threat, according to people familiar with the matter.

Officials in New Delhi were shocked and disappointed by Trump’s announcement on Wednesday, the people said, asking not to be identified as the discussions are private. The government is keen to keep bilateral trade talks on track and is exploring ways to increase purchases from its largest trading partner, they said.

Source: Bloomberg Europe

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Samantha Luan

Economic

Political

The United States and Pakistan reached a trade agreement expected to allow Washington to help develop Pakistan’s largely untapped oil reserves and lower tariffs for the South Asian country, officials from both nations said Thursday.Officials did not specify where the exploration would take place, but most of Pakistan’s reserves are believed to be in the insurgency-hit southwestern province of Balochistan, where separatists say the province’s natural resources are being exploited by the central government in Islamabad.

“We have just concluded a deal with the country of Pakistan, whereby Pakistan and the United States will work together on developing their massive oil reserves,” U.S. President Donald Trump wrote on his Truth Social platform.“We are in the process of choosing the oil company that will lead this partnership,” Trump added. “Who knows, maybe they’ll be selling oil to India someday!”Total U.S. trade with Pakistan was an estimated $7.3 billion in 2024, according to the Office of the United States Representative, which said on its website that U.S. exports to Pakistan in 2024 were $2.1 billion, up 4.4% ($90.9 million) from 2023. U.S. imports from Pakistan totaled $5.1 billion in 2024, up 4.9% ($238.7 million) from 2023, it said.

There was no immediate comment from the Baloch nationalists and separatist groups. Balochistan has long been the center of violence mostly blamed on groups including the outlawed Balochistan Liberation Army, or BLA, which the U.S. designated a terrorist organization in 2019.Separatists in Balochistan have opposed the extraction of resources by Pakistani and foreign firms and have targeted Pakistani security forces and Chinese nationals working on multibillion-dollar projects related to the China-Pakistan Economic Corridor.

Oil reserves are also thought to exist in the southern Sindh, eastern Punjab and northwestern Khyber Pakhtunkhwa provinces.Pakistan's Prime Minister Shehbaz Sharif welcomed the “long-awaited” deal and thanked Trump for playing a key role in finalizing it.Pakistan had been pursuing a trade agreement since May, when Trump mediated a ceasefire between Pakistan and India following an escalation triggered by Indian airstrikes on Pakistani territory in response to the killing of 26 tourists in Indian-controlled Kashmir.

Pakistan’s Finance Ministry said in a statement early Thursday the agreement aims to boost bilateral trade, expand market access, attract investment and foster cooperation in areas of mutual interest.The breakthrough came during a meeting in Washington between Pakistani Finance Minister Muhammad Aurangzeb and senior U.S. officials, including Commerce Secretary Howard Lutnick and Trade Representative Ambassador Jamieson Greer.

Source: Yahoo Finance

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Gerik

Economic

From MVNO to Multipurpose Platform: What Trump Mobile Offers

Trump Mobile is operating as a mobile virtual network operator (MVNO), meaning it leases bandwidth from existing major telecoms like Verizon or AT&T. The wireless service will come bundled with roadside assistance, telemedicine subscriptions, and device insurance. The $499 flagship smartphone, dubbed the T1, is branded “Designed and built in the United States,” though later clarifications suggest only partial domestic assembly due to global supply chain constraints.

Bundled service providers include:

Doctegrity for telehealth consultations and prescription access

Drive America for roadside assistance

Omega Mobile Care for device insurance

VMed Mobile, a wellness device and tracking platform with links to Shenzhen, China-based certification

The bundling strategy is positioned to appeal to “hardworking Americans” by combining essential services into a single monthly package.

Behind the Scenes: Interconnected Web of Ownership

The management and operations are deeply entangled with Liberty Mobile a network co-owned by Trump Mobile’s founding team (Pat O’Brien, Don Hendrickson, and Eric Thomas). Liberty Mobile has been registered since 2018, but remains largely low-profile, offering older devices and placeholder content on its website. Most customer-facing services are sourced from ventures either owned or co-owned by the trio.

Pat O’Brien’s Ensurety Ventures provides several of the key bundled services. O’Brien confirmed to Reuters that the T1 phone will run Android and is targeted to ship by October 2025. The $100 "waitlist" fee signals a crowdfunding-style pre-order strategy, though no actual pre-order numbers were disclosed.

Notably, on launch day, Trump Mobile’s support line mistakenly routed to Omega Auto Care, a car warranty firm under O’Brien’s umbrella highlighting operational chaos amid the company’s fast rollout.

Challenges in Domestic Manufacturing and Transparency

Initially marketed as an American-made device, the T1 faced immediate scrutiny. Experts pointed out that U.S.-based smartphone manufacturing would significantly drive up costs. In response, the website softened its language, stating the goal is to source as many components as possible domestically.

This pivot underscores both the political marketing appeal of “Made in America” and the hard limits of executing such claims in a global tech supply chain. The company’s vague communication around specifications and supply partners raises further doubts about scalability and competitiveness.

Trump’s Post-Election Business Blitz

Trump Mobile joins a growing roster of Trump-branded ventures since Donald Trump's reelection. These include:

A Trump-branded Bible

A cryptocurrency exchange and meme coin ecosystem (World Liberty Financial and $TRUMP coin)

A stablecoin (USD1)

12 overseas real estate deals

Together, they represent a post-election shift toward monetizing Trump’s political capital across multiple industries, often leveraging patriotic themes, alternative finance, and service bundling.

Trump Mobile’s launch reflects an aggressive and ideologically charged commercial strategy, repackaging telecom access with health and car support in a single platform. However, early signs such as operational misfires, opaque manufacturing claims, and reliance on interconnected ventures signal risk of overextension. Still, for Trump’s base, the service may find success as a values-driven alternative telecom provider, even if its market impact remains uncertain in the face of established MVNO competition and skeptical consumer segments.

Source: Bloomberg

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Glendon

Economic

Forex

Brazil estimates that 35.9% of its exports to the United States, by value, will be hit by a steep 50% tariff under an executive order issued on Wednesday by the Trump administration, two sources familiar with the matter told Reuters.

According to the sources, who spoke on condition of anonymity, the Ministry of Development, Industry, Trade and Services, which is leading trade negotiations with the U.S., is expected to unveil the figure later in the day.

Trump slapped the 50% tariff to fight what he has called a "witch hunt" against former President Jair Bolsonaro, but softened the blow by excluding sectors such as aircraft, energy and orange juice from heavier levies.

The Brazilian government will also report that another 44.6% of local products will be subject to the preexisting 10% tariff, while the remaining 19.5% will fall under tariffs the U.S. applies globally, ranging from 25% to 50%, added the sources.

The MDIC did not immediately respond to a request for comment.

Source: Yahoo Finance

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Gerik

Economic

Strategic Energy Cooperation: A New Frontier for U.S.–Pakistan Ties

The centerpiece of the agreement is U.S. participation in exploring and developing Pakistan’s domestic oil reserves, with discussions already underway to identify the leading American energy firm for the project. While the deal does not specify the exploration zones, it is widely expected to include Balochistan—a region rich in hydrocarbons but marred by separatist unrest and historical underdevelopment.

President Trump’s remarks, notably referencing the potential to export Pakistani oil to India, underscore the geopolitical undertones of this arrangement. The United States appears to be re-engaging with South Asia by using energy diplomacy to both stabilize Pakistan’s economy and counterbalance Chinese influence stemming from the China-Pakistan Economic Corridor (CPEC).

Tariff Reductions and Trade Expansion: A Win for Pakistan’s Exporters

The agreement also includes mutual tariff reductions, with a particular emphasis on improving Pakistan’s export access to the U.S. market. Pakistan’s total trade with the U.S. stood at $7.3 billion in 2024, with exports reaching $5.1 billion. The new deal is expected to accelerate this momentum, especially for key sectors such as textiles, agriculture, and light manufacturing.

Pakistan’s Finance Ministry hailed the deal as a mechanism to attract U.S. investment, widen market access, and stimulate broader cooperation. Finance Minister Muhammad Aurangzeb’s successful negotiations in Washington signal Islamabad’s efforts to reposition itself as a reliable economic partner amid regional instability.

Security and Resource Control: Balochistan's Fragile Context

While the deal promises economic benefits, it may reignite tensions in Balochistan. The region has a long history of resisting central government control, and militant groups like the Balochistan Liberation Army (BLA) have targeted foreign workers and energy projects in the past. Though these groups have not yet commented, the risk of unrest could complicate on-ground implementation.

Nonetheless, the broader energy development effort also includes potential reserves in Sindh, Punjab, and Khyber Pakhtunkhwa—provinces that offer relatively more stable conditions for foreign investment.

Ceasefire Diplomacy and Regional Balancing

This agreement follows Trump’s intervention in mediating a ceasefire between Pakistan and India in May 2025, after tensions escalated due to the killing of Indian tourists in Kashmir. The U.S. move to secure Pakistani cooperation on energy and trade shortly after indicates a calibrated strategy to leverage diplomacy into long-term economic engagement.

Prime Minister Shehbaz Sharif called the trade pact “long-awaited” and praised the U.S. for its proactive role. The timing reflects Pakistan’s urgency to stabilize its external accounts and improve investor confidence, especially amid pressure from the IMF and volatile regional security dynamics.

The U.S.–Pakistan trade deal marks a significant evolution in bilateral relations, pivoting toward energy development and trade facilitation. While it offers a lifeline to Pakistan’s struggling economy and a fresh investment avenue for U.S. firms, its success hinges on how well Islamabad manages internal security and whether both sides can translate political goodwill into operational progress. With energy security, regional stability, and economic reform at stake, this agreement may prove to be a defining moment for South Asia’s geopolitical realignment.