President Donald Trump has signed an Executive Order to establish a Strategic Bitcoin Reserve using assets already owned by the federal government. The move aims to strengthen the nation’s digital asset strategy without costing taxpayers.
The reserve will be funded with Bitcoin seized in criminal and civil asset forfeiture cases. The U.S. government reportedly holds around 200,000 BTC, though it has not conducted an official audit. The order mandates a full accounting of these holdings.
No sales, Bitcoin held as store of value
Bitcoin in the reserve will not be sold. Instead, it will serve as a long-term store of value, similar to gold held at Fort Knox. This decision follows past sales that resulted in over $17 billion in lost potential value for taxpayers.
The Secretaries of Treasury and Commerce will explore budget-neutral strategies to acquire more Bitcoin. Any purchases must not create additional costs for taxpayers.
The order also creates a U.S. Digital Asset Stockpile for other forfeited digital assets. The government will not actively acquire more assets for this stockpile beyond those seized in legal cases. The Treasury Department will manage both reserves.
Key officials behind the initiative
This move aligns with Trump’s promise to make the U.S. a global leader in digital assets. His administration has positioned itself as a strong supporter of the crypto industry, moving quickly to implement pro-crypto policies.
The President’s Working Group on Digital Asset Markets played a key role in shaping this initiative. Treasury Secretary Scott Bessent, Commerce Secretary Howard Lutnick, and Executive Director Bo Hines were instrumental in finalizing the order.
Nevertheless, Trump signals a major shift in federal policy by treating Bitcoin as a strategic asset instead of a disposable one. This decision could have lasting effects on the digital asset market and the nation’s financial future.
