President Donald Trump signed an executive order establishing a government reserve of bitcoin, with the goal of retaining approximately 200,000 bitcoins already seized in criminal and civil proceedings. The U.S. will not sell these bitcoins, instead holding them as a store of value.
The plan, led by “crypto czar” David Sacks, aims to provide a full accounting of the government’s bitcoin holdings, which have never been fully audited. This reserve is intended to be a digital equivalent of Fort Knox for cryptocurrency, providing a secure and valuable asset.
Under the order, the Treasury and Commerce Departments will develop budget-neutral strategies for acquiring additional bitcoins. The goal is to create a sustainable and long-term approach to investing in bitcoin and other cryptocurrencies.
The move comes after Trump’s administration has taken steps to support the crypto industry, including legislation and reduced enforcement actions against major companies. Bitcoin prices have since cooled off following the announcement, trading around $86,000 shortly after.
Source: https://apnews.com/article/bitcoin-reserve-trump-crypto-sacks-5c91a1ab3dab9a8c86d4bc42b8db3f8f