Trump unveils ‘digital Fort Knox’
US President Donald Trump has directed the Treasury to overhaul the management of cryptocurrencies owned by the federal government. Read Full Article at RT.com
TroibNews 
The US Treasury is set to create a “strategic reserve” of cryptocurrency, which will include Bitcoin.
US President Donald Trump recently implemented two new initiatives aimed at managing federal government cryptocurrency assets.
On Thursday, a presidential executive order was issued establishing a Strategic Bitcoin Reserve and a US Digital Asset Stockpile. These reserves will be managed by the Treasury and will focus on Bitcoin as well as other cryptocurrencies.
The administration views these digital assets, especially Bitcoin, as stable stores of value that are expected to increase in value over time due to their inherent scarcity.
“The reserve is like a digital Fort Knox for the cryptocurrency often called ‘digital gold’,” explained White House crypto advisor David Sacks. He estimated that the government currently holds around 200,000 bitcoins, valued at over $17 billion. Sacks also noted that in previous years, the US sold approximately 195,000 bitcoins for just $366 million, resulting in a significant financial loss for taxpayers.
The primary source of the government's cryptocurrency holdings stems from criminal or civil asset forfeiture. Trump has directed the Treasury secretary to investigate “budget neutral” methods for acquiring more bitcoins, although this guidance does not apply to other digital assets.
While some industry experts were hoping for a more proactive approach to buying cryptocurrencies, this policy shift does not include active purchases. Charles Edwards, founder of Bitcoin-focused hedge fund Capriole Investments, expressed disappointment, calling the outcome “the most underwhelming and disappointing” and argued that the measure merely rebrands existing government holdings without expanding them.
According to Sacks, Trump’s initiatives are consistent with his campaign pledge to position the US as the “crypto capital of the world” by fostering innovative digital financial instruments.
Mathilde Moreau for TROIB News
US President Donald Trump recently implemented two new initiatives aimed at managing federal government cryptocurrency assets.
On Thursday, a presidential executive order was issued establishing a Strategic Bitcoin Reserve and a US Digital Asset Stockpile. These reserves will be managed by the Treasury and will focus on Bitcoin as well as other cryptocurrencies.
The administration views these digital assets, especially Bitcoin, as stable stores of value that are expected to increase in value over time due to their inherent scarcity.
“The reserve is like a digital Fort Knox for the cryptocurrency often called ‘digital gold’,” explained White House crypto advisor David Sacks. He estimated that the government currently holds around 200,000 bitcoins, valued at over $17 billion. Sacks also noted that in previous years, the US sold approximately 195,000 bitcoins for just $366 million, resulting in a significant financial loss for taxpayers.
The primary source of the government's cryptocurrency holdings stems from criminal or civil asset forfeiture. Trump has directed the Treasury secretary to investigate “budget neutral” methods for acquiring more bitcoins, although this guidance does not apply to other digital assets.
While some industry experts were hoping for a more proactive approach to buying cryptocurrencies, this policy shift does not include active purchases. Charles Edwards, founder of Bitcoin-focused hedge fund Capriole Investments, expressed disappointment, calling the outcome “the most underwhelming and disappointing” and argued that the measure merely rebrands existing government holdings without expanding them.
According to Sacks, Trump’s initiatives are consistent with his campaign pledge to position the US as the “crypto capital of the world” by fostering innovative digital financial instruments.
Mathilde Moreau for TROIB News
