Bitcoin News Today: U.S. Treasury Explores Revaluing $750 Billion Gold for Bitcoin Reserve

Generated by AI AgentCoin World
Wednesday, Aug 6, 2025 11:25 pm ET1min read
Aime RobotAime Summary

- U.S. Treasury's $11B gold reserves (market value $750B) could fund a Bitcoin reserve via revaluation and accounting adjustments, per a Fed report.

- Proponents like Sen. Lummis and Trump support the plan, aligning with global trends as nations explore Bitcoin for sovereign digital assets.

- Treasury Secretary Bessent rejects revaluation, warning of inflation risks and Fed independence threats, citing historical precedents like 1934.

- Analysts debate Bitcoin's potential as gold's modern alternative, while Fed research reflects growing institutional interest in rethinking gold's role.

The U.S. Treasury’s gold reserves, officially valued at $11 billion but with a current market value exceeding $750 billion, have become the subject of a Federal Reserve report examining how these gains could fund a strategic Bitcoin reserve [1]. The report explores a method in which the Treasury would revalue its gold holdings through accounting adjustments, allowing it to issue new gold certificates at the higher market price and transfer the assets to the Federal Reserve. This process would generate liquidity without selling physical gold or expanding the monetary supply, a technique used historically by other countries [1].

The initiative has drawn attention from political figures, including Republican Senator Cynthia Lummis and Donald Trump, who have publicly supported the idea of using the revaluation to fund a digital asset strategy [1]. Proponents argue that such a move could provide the U.S. with a sovereign digital asset reserve, aligning with global trends as countries like Indonesia and Brazil explore Bitcoin for inclusion in their national reserves [1]. Analysts like Tom Lee have also suggested that Bitcoin may be emerging as a modern alternative to gold as a store of value [1].

Despite the theoretical appeal, the proposal has encountered strong resistance. Treasury Secretary Scott Bessent has explicitly ruled out revaluing gold reserves, stating that the Treasury is not considering the move [1]. Critics warn that revaluing gold without selling it could distort monetary policy, create inflationary pressures, and challenge the independence of the Federal Reserve. Historical examples, such as the 1934 gold revaluation, highlight the potential for political interference and instability [1].

The Federal Reserve’s research into the concept reflects a broader shift in how policymakers and

are assessing the role of digital assets in global monetary strategy. While no immediate action is expected, the analysis indicates growing academic and institutional interest in rethinking the value of the U.S. gold holdings [1].

Source:

[1] U.S. Treasury Gold Reserves Undervalued at $11 Billion ... https://www.ainvest.com/news/treasury-gold-reserves-undervalued-11-billion-750-billion-market-gap-2508/

[2] Federal Reserve Explores Gold Reserves for Bitcoin ... https://www.binance.com/en/square/post/27978352730906

[3] Could the Treasury Revalue Gold for Bitcoin Reserve or ... https://www.forbes.com/sites/brandonkochkodin/2025/08/06/the-treasury-is-sitting-on-a-750-billion-gold-hoardofficially-valued-at-11-billion/

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