Trump Establishes Strategic Bitcoin Reserve Valued at $17 Billion

President Donald Trump has signed an executive order to establish a Strategic Bitcoin Reserve, often referred to as a "Digital Fort Knox." This reserve will be funded by Bitcoin holdings seized by the federal government through criminal or civil asset forfeiture proceedings, ensuring that it does not cost taxpayers any additional funds. The U.S. government is estimated to own a significant amount of Bitcoin, although a complete audit of these holdings has not been conducted. The executive order directs a full accounting of the government’s digital asset holdings, which are valued at approximately $17 billion at current market prices.

The Strategic Bitcoin Reserve will not sell any of the Bitcoin deposited into it, instead keeping it as a store of value. This approach is likened to a "digital Fort Knox" for the cryptocurrency often referred to as "digital gold." The Secretaries of Treasury and Commerce are authorized to develop budget-neutral strategies for acquiring additional Bitcoin, ensuring that these strategies have no incremental costs on American taxpayers. Additionally, the order establishes a U.S. Digital Asset Stockpile, which will consist of digital assets other than Bitcoin that were forfeited in criminal or civil proceedings.

This move by President Trump underscores the government's commitment to leveraging digital assets as a strategic reserve, similar to how gold has been used traditionally. The establishment of the Strategic Bitcoin Reserve and the U.S. Digital Asset Stockpile is a significant step in recognizing the value and potential of cryptocurrencies in the modern financial landscape. The reserve will serve as a secure and valuable asset for the nation, providing a stable store of value that can be utilized in various economic scenarios.