Bitcoin News Today: Trump Admin Stands by DeFi and Bitcoin Reserve Despite Policy Omission

The Trump administration remains committed to advancing decentralized finance (DeFi) and the strategic Bitcoin reserve, despite their absence in a recently released 166-page digital asset policy report from the White House [1]. The report, issued by the administration’s crypto working group, focuses primarily on regulatory frameworks for cryptocurrencies rather than outlining specific plans for the Bitcoin reserve or DeFi initiatives [1].

Bo Hines, director of the President’s Council of Advisers on Digital Assets, emphasized that the administration will continue its efforts in these areas. The strategic Bitcoin reserve was established in March 2024 via a presidential executive order and remains a core component of the broader crypto strategy [1]. Hines highlighted the importance of fostering innovation and offering guidance to developers, stating, “We want people innovating and developing here in the US [...] immense steps to do that and offer guidance [...] we understand how important immutable smart contracts are in open source code” [1].

The Treasury Department also weighed in on the report’s direction. Tyler Williams of the Treasury noted that while many policy recommendations were familiar, the document added “a little bit more meat on the bones in terms of the action items we wanna see” [1]. This includes strides toward compliance with the Bank Secrecy Act, as demonstrated by the recently passed Digital Asset Market Clarity Act.

According to Hines, Bitcoin occupies a unique role in the digital asset ecosystem, and the administration is working to build a robust foundation for its long-term success [1]. He acknowledged that while the government still supports the accumulation of Bitcoin, the process requires time and careful planning. Nansen’s analysis indicates the U.S. government holds approximately 198,000 BTC, valued at around $2.35 billion [1].

The omission of DeFi and the Bitcoin reserve in the policy report has sparked speculation about the administration’s priorities and transparency [1]. The report, while detailed in its regulatory reform proposals, has not yet provided a comprehensive overview of the strategic reserve initiative, despite the executive order mandating its creation [1].

The administration’s focus on Bitcoin and DeFi reflects a broader strategy to position the U.S. as a global leader in the digital economy [1]. However, the lack of transparency regarding the strategic reserve and DeFi plans could raise concerns about the speed and clarity of implementation, potentially leading to market uncertainty [1].

Sources:

[1] The Bit Journal – [https://thebitjournal.com/duo-root-for-defi-and-bitcoin-reserve-future/](https://thebitjournal.com/duo-root-for-defi-and-bitcoin-reserve-future/)