Bitcoin News Today: U.S. Becomes World's Largest Bitcoin Holder, Igniting Global Financial Debate

The U.S. government has taken a decisive step toward integrating Bitcoin into its national economic strategy, with President Donald Trump signing an executive order in March 2025 to establish a Strategic Bitcoin Reserve and a U.S. Digital Asset Stockpile. The reserve, funded by forfeited Bitcoin and other cryptocurrencies from criminal and civil asset seizures, aims to position the U.S. as a global leader in digital assets. The order names Bitcoin, Solana (SOL), Cardano (ADA), Ripple (XRP), and Ethereum (ETH) as key components of the reserve, reflecting a broad-based approach to digital asset diversification. The move has sparked mixed reactions, with economists divided on its long-term implications. While some critics argue the initiative is speculative and politically motivated, others, including S&P Global Ratings, view it as a symbolic recognition of Bitcoin's growing legitimacy in the global financial system.

The executive order aligns with broader legislative efforts, such as Senator Cynthia Lummis' Bitcoin Act of 2025, which proposes acquiring 1 million BTC over five years using proceeds from the sale of Federal Reserve gold certificates. Bo Hines, Executive Director of the President's Council of Advisers on Digital Assets, emphasized that leveraging gains from gold reserves would allow the U.S. to accumulate Bitcoin in a "budget-neutral" manner. This strategy mirrors El Salvador's approach, where the country's Bitcoin holdings surged to 6,246 BTC ($740 million) as of July 2025, driven by geothermal mining and strategic purchases. El Salvador's portfolio, now valued with over $443 million in unrealized gains, underscores the potential for sovereign Bitcoin adoption to yield significant financial returns.

Public sentiment in the U.S. also supports the shift. A survey by The Nakamoto Project revealed that 80% of Americans advocate converting at least some of the nation's gold reserves into Bitcoin, with a median recommendation of 10% and a mean of 20%. Younger demographics and male respondents were more inclined to favor higher allocations, reflecting a generational divide in perceptions of digital assets. This growing acceptance has prompted policymakers to explore regulatory frameworks that balance innovation with financial stability. For instance, the U.S. Department of Justice disbanded its National Cryptocurrency Enforcement Team in April 2025, citing Trump's directive to allow citizens unrestricted access to blockchain networks.

However, the U.S. strategy faces skepticism from international counterparts. The European Stability Mechanism and the European Central Bank have criticized the move, warning of risks to monetary sovereignty and financial stability. Meanwhile, countries like India and Pakistan are reassessing their crypto policies in response to global trends, with Pakistan allocating surplus electricity to Bitcoin mining. Despite these concerns, the U.S. continues to advance its agenda, with the White House AI & Crypto Czar David Sacks leading a working group to evaluate long-term strategies for the reserve by July 2025.

The geopolitical implications of the U.S. initiative are profound. As of July 2025, the U.S. holds 198,000 BTC-surpassing China's 194,000 BTC-making it the largest known state holder of Bitcoin. This dominance could influence global market dynamics, particularly as other nations consider similar moves. For example, Bhutan's $750 million Bitcoin holdings (28% of its GDP) and El Salvador's $550 million in reserves highlight the growing role of digital assets in sovereign wealth strategies.

[1] "Trump Sparks Crypto Rally by Saying More Coins to Be in Reserve" (Bloomberg News)

[2] "White House Drops Bombshell: Floats Controversial Plan to Tap U.S. Gold Reserves to Buy Bitcoin" (Economic Times)

[3] "El Salvador's Bitcoin Portfolio Reaches $740M Mark" (CoinCentral)

[4] "The Majority of Americans Support Diversifying Some Portion of U.S. Gold Reserves into Bitcoin" (The Nakamoto Project)

[5] "U.S. Justice Dept Disbands Crypto Enforcement Team, Citing Trump Order" (Reuters)

[6] "Pakistan Turns to Bitcoin Miners, AI Data Centers to Use Surplus Power" (Reuters)

[7] "Fact Sheet: President Donald J. Trump Establishes the Strategic Bitcoin Reserve" (The White House)

[8] "World Governments Now Hold 517,296 Bitcoin Worth $61 Billion" (CryptoCoverage)

[9] "Bhutan Quietly Built $750 Million in Bitcoin Holdings" (Forbes)