Trump Administration Launches Crypto Stockpile, Bitcoin Reserve Rises 10%

The Trump administration has unveiled a comprehensive plan to enhance the value of its cryptocurrency holdings, following the president's recent endorsement of digital assets such as Bitcoin, XRP, Ethereum, Solana, and Cardano. This initiative, spearheaded by officials including Treasury Secretary Scott Bessent and crypto czar David Sacks, aims to optimize the government’s existing cryptocurrency stockpile while establishing a Bitcoin-exclusive strategic reserve.

David Sacks, a technology investor and newly appointed crypto czar, discussed the administration’s approach on a podcast. Sacks emphasized that the government would consolidate its cryptocurrency holdings into a “digital stockpile,” with management responsibilities falling under the Treasury Department. “The purpose of the stockpile is responsible stewardship, it’s a place for safekeeping, it’s a centralized account under the direction of the secretary of the Treasury, and the secretary of the Treasury will figure out how to maximize the value of these holdings,” Sacks stated.

This move represents a shift in strategy by the White House, which initially planned to focus on a Bitcoin-only reserve. Instead, the administration has divided its approach, creating a primary Bitcoin reserve and a broader crypto stockpile that includes Ethereum, XRP, Solana, and Cardano. Officials suggest that this division will allow for more effective portfolio management.

At a White House crypto summit, Trump reinforced his commitment to making the U.S. a leader in digital assets. He characterized Bitcoin as the foundation of the country’s cryptocurrency strategy, referring to the new Bitcoin reserve as a “digital Fort Knox.” “I promised to make America the bitcoin superpower of the world and the crypto capital of the planet,” Trump said. “We’re taking historic action to deliver on that promise.” This initiative fulfills Trump’s campaign promises to establish a national Bitcoin reserve. At the Bitcoin 2024 conference in July, he suggested that Bitcoin could surpass gold’s $20 trillion market capitalization.

Sacks indicated that the government will focus on optimizing its crypto holdings rather than making direct purchases. He explained that the Treasury’s approach would involve strategic management rather than immediate acquisitions. “The crypto stockpile should be subject to good portfolio management and fortunately we have a secretary of the Treasury who is an extremely successful former hedge fund manager, so he’s going to figure out the best way to manage these assets and we give him the flexibility to do portfolio management,”