Trump Issues Executive Order Creating "Strategic Bitcoin Reserve"

Redefining the U.S. government's position on digital assets, President Donald Trump issued an executive order to establish a Strategic Bitcoin Reserve. White House Crypto and AI Commissioner David Sacks confirmed the announcement in a post on X. The reserve won't be dependent on public funds. Rather, it will only be financed with bitcoin that has been seized in civil and criminal forfeiture proceedings. According to Sacks, the federal government's Bitcoin that was seized as part of criminal or civil asset forfeiture actions will be used to capitalise the reserve.

The Government Owns Sizeable Bitcoin Reserves

Estimates indicate that the U.S. government possesses about 200,000 bitcoin, despite the fact that a complete audit has never been conducted. According to Trump's executive order, a thorough examination of federal digital asset holdings is required. Presenting bitcoin as a long-term store of value, the directive also forbids the government from selling it from the reserve. This decision was made in response to previous bitcoin liquidations that resulted in significant cash opportunities being lost. Sacks has pointed out that by selling confiscated bitcoin too soon, the United States lost out on roughly $17 billion in possible profits.

The executive order creates a U.S. Digital Asset Stockpile to store additional seized cryptocurrencies in addition to bitcoin. The Treasury Department will oversee this stockpile, guaranteeing a methodical approach to dealing with digital assets that have been seized.

How US is Envisaging  its Digital Currency Future?

Additional policy formulation will be supervised by Commerce Secretary Howard Lutnick and Treasury Secretary Scott Bessent. They will concentrate on managing and maybe growing the reserve using cost-neutral methods. Trump recently said on social media that the government will hoard Bitcoin, Ethereum, and three other tokens. This action comes after his remarks. Some in the cryptocurrency industry reacted negatively to the tweet. But according to Sacks, the new policy is a significant step in turning the United States into the "crypto capital of the world." The U.S. government is sending a clear message about the future of digital assets with this executive order. Although opinions are still divided, the ruling clearly shows that bitcoin is no longer seen as a disposable holding but rather as a strategic asset.

Where Does India Stand in Digital Assets Game?

In the most populous country in the world, where jobs and wage rises have not kept pace with global economic growth, many young Indians are experimenting with cryptocurrency trading as a way to augment their regular income. According to a government report, over two-thirds of its 1.4 billion inhabitants are under 35. They are shifting their focus from equities and derivatives to cryptocurrency assets, whose values have skyrocketed since U.S. President Donald Trump's election victory in November, when he pledged to relax regulations on the market.

According to reports, Edul Patel, co-founder of the Indian cryptocurrency exchange Mudrex, stated that there is a lot of interest at the grassroots level, particularly in light of Trump's election as president of the United States and the global shift in the cryptocurrency landscape. According to a consultancy firm, Grant Thornton Bharat, the Indian cryptocurrency industry is predicted to increase from $2.5 billion last year to over $15 billion in 2035 at a compound annual growth rate of 18.5%.