President Trump Signs Executive Order Establishing A Strategic Bitcoin Reserve
on Mar 07, 2025
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What Is A Bitcoin Reserve?
A Bitcoin reserve is a supply of Bitcoin that a government or organization holds for future use. It’s similar to how gold reserves work, providing a way to store value and plan for the future.
Having a reserve allows them to hold onto Bitcoin instead of selling it right away, so they can use it when it’s most beneficial.
Bitcoin Reserve Established By Trump
On Thursday, March 6, 2025, President Donald Trump signed an executive order creating a strategic bitcoin reserve.
White House AI and Crypto Czar David Sacks shared a post on X, providing more details on what this initiative involves.
He was appointed by Trump to the new position in the White House back in December 2024. He is an entrepreneur, author, and investor. He previously served as COO and product leader at PayPal and is the founder and CEO of the social networking app Yammer, now known as Viva Engage.
He stated that the reserve would come at no cost to taxpayers, as it would be funded using Bitcoin already owned by the federal government that was forfeited in criminal or civil cases.
It is estimated that the U.S. government currently holds around 200,000 Bitcoins, though Sacks did say that no official audit has confirmed this number.
“The U.S. will not sell any bitcoin deposited into the Reserve. It will be kept as a store of value. The Reserve is like a digital Fort Knox for the cryptocurrency often called “digital gold,” Sacks said in his social media post.
Sacks added that approximately $17 billion worth of bitcoin had already been sold prematurely. He states that this new strategy would help maximize the value of the government’s remaining holdings.
“The Secretaries of Treasury and Commerce are authorized to develop budget-neutral strategies for acquiring additional bitcoin, provided that those strategies have no incremental costs on American taxpayers.”
The recently signed executive order also establishes a U.S. Digital Asset Stockpile. The purpose of the Stockpile is to place the government’s digital assets under the supervision of the Treasury Department.
“Agencies must provide a full accounting of their digital asset holdings to the Secretary of the Treasury and the President’s Working Group on Digital Asset Markets,” a Fact Sheet on the White House officialy website states.
See David Sack’s full statement:
Just a few minutes ago, President Trump signed an Executive Order to establish a Strategic Bitcoin Reserve.
— David Sacks (@davidsacks47) March 7, 2025
The Reserve will be capitalized with Bitcoin owned by the federal government that was forfeited as part of criminal or civil asset forfeiture proceedings. This means it…
