KEY POINTS
- Trump has said the US may purchase more $BTC than it already holds from seizures but only if the purchases won’t cost American taxpayers
- There have been no recommendations yet from the Treasury from where the money will be taken for additional Bitcoin acquisitions
- Crypto users are urging the US government to act fast if it doesn’t want to get left behind in the global race toward SBRs
The Donald Trump administration is seeking to accumulate as much Bitcoin as possible, a White House official reportedly told cryptocurrency industry leaders this week. If true, the Trump admin may need to speed up its accumulation while prices are in the low.
Bo Hines, who leads the U.S. president’s crypto council, told crypto leaders during a closed-door roundtable earlier this week that the Trump White House is committed to snapping up BTC, Decrypt reported Thursday, citing multiple roundtable attendees.
It’s ‘Go Big or Go Home’ for Trump Admin
Tuesday’s private roundtable was attended by some of the industry’s most prominent figures, including Strategy’s Michael Saylor, Anchorage Digital CEO Nathan McCauley, Marathon Digital CEO Fred Thiel, and Bitcoin Magazine CEO David Bailey.
Hines was asked whether the Trump government actually supports the Bitcoin Act, which will require the government to acquire up to one million Bitcoins.
He reportedly said the White House will support legislation that establishes a strategic Bitcoin Reserve (SBR), but did not specify which specific piece of legislation Trump will support.
A White House official confirmed to the outlet that Hines did make a statement on the Trump admin accumulating as much Bitcoin as possible but reiterated that the acquisitions will be made “in a budget neutral way that doesn’t cost the taxpayers a dime.”
The statement aligns with the president’s executive order establishing an SBR, wherein the Treasury was ordered to come up with “budget-neutral strategies” for BTC acquisition that will not involve taking accumulation funds from taxpayer dollars.
Based on civil and criminal features, the United States currently holds nearly 200,000 Bitcoins. It is unclear if the Treasury is planning to discuss potential budget-neutral strategies with crypto leaders and experts.
Time is Ticking for US $BTC Reserve
While the U.S. does have a massive stockpile of seized Bitcoin, it isn’t the only country and isn’t the first to have thought of an SBR.
El Salvador has continuously purchased Bitcoin on a daily basis since late 2022, while the Kingdom of Bhutan has been building up its own BTC treasury through purchases and mining activities.
Some crypto users are worried the U.S. may get left behind even if it has a massive stash, especially if other countries join the race toward a Bitcoin reserve.
“They better act fast if they want to get ahead of other nation states,” said one user.
Another had similar sentiments, saying the U.S. acquiring BTC beyond its seized coins marks “the beginning of a new global monetary race.”
Still, the biggest question remains: where will the U.S. get the money for such purchases if they won’t be taken from the taxpayers’ pockets?
The Treasury has a few months before it is expected to present strategies to the president. For now, Bitcoin was barely unmoved with the news and is down 2% in the day, even dipping below $80,000 at one point Thursday.
