Trump signs an executive order to create U.S. Bitcoin Reserve

President Donald Trump signed an executive order to create a Strategic Bitcoin Reserve for the United States.

The reserve will be filled with bitcoin seized from criminal and civil cases, so taxpayers won’t have to pay for it.

David Sacks, the White House official in charge of cryptocurrency and AI, said the U.S. government owns about 200,000 bitcoin but has never done a full audit.

David Sacks on X: "Just a few minutes ago, President Trump signed an Executive Order to establish a Strategic Bitcoin Reserve. The Reserve will be capitalized with Bitcoin owned by the federal government that was forfeited as part of criminal or civil asset forfeiture proceedings.

Trump’s order requires a full accounting of these assets and prohibits selling bitcoin from the reserve, making it a long-term investment like gold.

The order also creates a U.S. Digital Asset Stockpile, managed by the Treasury Department, to store other confiscated cryptocurrencies.

Some crypto investors were concerned when Trump said the reserve would also include Ethereum (ETH), XRP, Solana (SOL), and Cardano (ADA). Many believe only bitcoin is reliable enough for a strategic reserve.

Investor Ryan Gilbert said this move confirms that bitcoin is here to stay and will make it stand out from other cryptocurrencies.

However, he warned that the U.S. should not trade bitcoin actively, as a reserve should be a long-term store of value and not cause market instability.

David Sacks praised the decision, saying it helps make the U.S. a leader in cryptocurrency. He also noted that the government has previously lost over $17 billion by selling seized bitcoin too early.

The Treasury and Commerce departments will now work on policies to expand the bitcoin reserve without affecting the government’s budget.