"Saylor Pitches Bitcoin Reserve Plan to SEC Amid Regulatory Shift"

Michael Saylor, Executive Chairman of Strategy (formerly MicroStrategy), recently met with the Securities and Exchange Commission’s (SEC) Crypto Task Force to discuss regulatory reforms and propose a Bitcoin reserve plan aimed at addressing the US national debt crisis. The meeting took place as the SEC began to adopt a more lenient stance towards cryptocurrency under President Donald Trump’s administration and acting chair Mark Uyeda.

During the meeting, Saylor presented several proposals to support innovation in the crypto space while protecting investors’ rights. One key suggestion was to cap asset-issuing expenses at 1% of a business’s assets under management and limit the cost of maintaining asset listings to just 10 basis points (0.1%) per year. These measures would reduce financial burdens on companies launching new tokens and investment products in the United States.

Saylor also emphasized the need for clear definitions of different types of digital assets. His “Digital Assets Framework,” introduced in December 2024, categorizes digital assets into six classes: Digital Commodities, Digital Securities, Digital Currencies, Digital Tokens, Digital NFTs, and Digital ABTs. Under this framework, Bitcoin is classified as a Digital Commodity, representing decentralized assets not tied to any specific issuer.

One of the most ambitious parts of Saylor’s presentation was his Bitcoin reserve plan. The proposal outlines how the US government could generate between $16 trillion and $81 trillion in wealth for the US Treasury by acquiring approximately 20% of Bitcoin’s total circulation. This plan aims to address the national debt, which has reached $36.2 trillion as of February 5, 2025.

The SEC’s Crypto Task Force, led by Commissioner Hester Pierce, was established in January 2025 to foster collaboration between crypto firms and regulators. Since its formation, the task force has met with several major players in the crypto industry, including representatives from digital trading platforms and the Crypto Council for Innovation.

The SEC has already shown signs of its new approach by dropping legal complaints against major crypto firms. Earlier this month, the Commission announced it was abandoning its case against trading platform Coinbase and ending an investigation into Robinhood’s crypto trading arm. These moves have fueled speculation that regulators might soon drop enforcement actions against other digital asset companies, marking a dramatic change in the regulatory landscape for cryptocurrency in the United States.

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