- US establishes Strategic Bitcoin Reserve: Bitcoin is now the primary government crypto asset
- Altcoins (XRP, ETH, ADA, SOL) go to US Digital Asset Stockpile, not Bitcoin reserve
- Trump order funds Bitcoin Reserve & Stockpile with seized, not taxpayer, funds
President Donald Trump has signed an important executive order that changes how the U.S. handles digital assets like Bitcoin and other cryptocurrencies. This order creates a special Bitcoin reserve and a larger U.S. digital asset stockpile.
This confirms that Bitcoin will be the U.S. government’s main reserve asset, while XRP and other cryptocurrencies will also be part of the stockpile.
Bitcoin Reserve: Funded by Seized Assets, Not Taxpayer Money
The executive order creates a Bitcoin reserve, which will be funded with Bitcoin already owned by the U.S. government.
These Bitcoins were seized in legal cases related to crime or other civil matters, meaning no taxpayer money will be used for this reserve.
XRP and Other Cryptos in the Stockpile
Sacks agreed with a Fox Business report that President Trump’s Executive Order lays out two key initiatives: a strategic Bitcoin reserve and a digital asset stockpile.
Besides Bitcoin, the executive order also creates a U.S. digital asset stockpile, which will include other cryptocurrencies like XRP, ADA, Ethereum, and Solana. However, the government won’t buy more of these cryptocurrencies unless it can do so without using taxpayer money.
A former Goldman Sachs employee shared that many people are wondering how the government will get its XRP, ADA, and SOL for its stockpile if it’s not buying them. He explained the U.S. government plans to build its digital asset stockpile using seized cryptocurrencies, rather than purchasing them.
According to this expert, this decision to hold its crypto assets is expected to reduce market volatility and is seen as a bullish development for the crypto market.
Future Bitcoin Buys Possible, Audit Ordered
The executive order also gives the U.S. government the authority to consider buying more Bitcoin, but only if it doesn’t cost taxpayers any extra money. This is a major part of the plan to build the reserve and ensure the government has a steady strategy for managing its digital assets.
Related: Crypto VC: Trump’s Strategic Reserve Plan Gets Bitcoin Right, But XRP & Cardano Wrong
The U.S. government currently owns an estimated 200,000 Bitcoin, but there has never been a full audit of these holdings. The executive order directs a complete audit to get a clear picture of what digital assets the government has.
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