Donald Trump Endows America With a Strategic Bitcoin Reserve While Keeping Sh*tcoins Out of the Party.
Full analysis of a landmark Executive Order.
After months of promises and a few weeks of anticipation, since he arrived at the White House, Donald Trump has finally lived up to the expectations he raised within the Bitcoin community by signing an Executive Order on March 6, 2025, establishing a Strategic Bitcoin Reserve.
First of all, I invite you to read the contents of this Executive Order for yourself. Don't Trust, Verify:
Once this is done, you can read the rest of this article, in which I will share my analysis of what was announced by President Donald Trump.
The good news is that Bitcoin and Sh*tcoins are treated differently by this Executive Order. On the one hand, you'll have a Strategic Bitcoin Reserve, and on the other, a Digital Asset Stockpile.
A Strategic Bitcoin Reserve for America
America's Strategic Bitcoin Reserve will be made up of Bitcoin held by the Treasury Department that has been seized in the past in connection with criminal cases. Other American agencies that have seized Bitcoin in such cases will assess their legal authority to transfer their Bitcoin to this Strategic Bitcoin Reserve.
Most importantly, America will not sell the Bitcoin deposited in the Strategic Bitcoin Reserve.
Finally, the Secretaries of the Treasury and Commerce, Scott Bessent and Howard Lutnick respectively, are authorized to develop strategies to acquire more Bitcoin for this Strategic Bitcoin Reserve, provided that these strategies have no additional cost for American taxpayers.
This last point is essential in my eyes because, unlike Michael J. Saylor who unreasonably accumulates Bitcoin using debt, which goes against the very spirit of the Bitcoin Revolution, this Executive Order indicates that America will be able to accumulate Bitcoin provided it has the means to do so. No worries about America acquiring Bitcoin as long as it's done with budget surpluses and not with fiat money printed out of thin air.
A U.S. Digital Asset Stockpile
President Trump's Executive Order establishes a completely separate U.S. Digital Asset Stockpile. This Digital Asset Stockpile will be made up of digital assets seized by the Treasury Department in criminal cases. The Executive Order guarantees that the U.S. government will not acquire any more Sh*tcoins than those obtained through criminal seizures. The bosses of Ripple, Solana, or Cardano will be disappointed... But this will avoid any conflict of interest since these are coins linked to private companies!
The Secretary of the Treasury may determine strategies for responsible stewardship, including potential sales from the U.S. Digital Asset Stockpile.
This part about the U.S. Digital Asset Stockpile reinforces doubts about the Pump & Dump orchestrated by Donald Trump for himself and those close to him earlier this week when he put forward that Solana, XRP, and ADA would be integral parts of America's Strategic Crypto Reserve:
Impossible to prove precisely, but all the same, those familiar with the world of crypto-currencies will already have made up their minds...
The Executive Order also specifies that US agencies must provide a full accounting of their digital asset holdings to the Secretary of the Treasury and the President's Working Group on Digital Asset Markets.
The Order guarantees a strategic approach to managing digital assets under America's control. This was something that had been missing and costing America a lot of money until now, as David Sacks explained on the day:
What does this mean for Bitcoin?
The positive point here is that America recognizes Bitcoin's “digital gold” status. It's fascinating to see Bitcoin's unique monetary characteristics mentioned positively in an official White House document:
Bitcoin is much more than just an SoV since Bitcoin is also an MoE that aims to compete with the dollar system. Nevertheless, let's look at it as an essential first step.
Now that America is pushing ahead with Bitcoin, other G20 countries may want to follow suit. China could announce the creation of a similar reserve to store the Bitcoin it has seized in criminal cases. Other countries may decide to start acquiring Bitcoin to get a head start on those who continue to unnecessarily criticize Bitcoin, as is the case in many European countries.
In a sense, Donald Trump is keeping his promise to show the rest of the world the way in this area, as everyone has been waiting to see what strategy America would adopt to position itself. America is well on its way to becoming the “Crypto Capital of the World”. That much is certain.
Gone is the war against companies invested in the Bitcoin and cryptocurrency world. A more pragmatic approach will be adopted, and that's a good thing for innovation.
It remains to be seen how this will benefit individuals, as seeing governments hoard Bitcoin in order to block it and render it unusable is not something that will benefit the people. This is the main problem with the future adoption of Bitcoin by nations. There will always be less Bitcoin available to develop a circular economy centered on the Bitcoin system.
Indeed, as Nations accumulate Bitcoin, the price of Bitcoin should continue to appreciate in weak money, which will consolidate its SoV status, but will continue to dissuade people living in the Western world from using Bitcoin daily as an MoE. Let's hope, though, that we can keep the Bitcoin revolution moving in the right direction despite everything.
To conclude, we'll know more later today at the first-ever crypto summit at the White House. As for the Sh*tcoiners, they're in for a bad day ... This could be the opportunity for them to study Bitcoin again and understand that only Bitcoin matters in the long term.
Nation states hoarding bitcoin will not actually discourage normal people from using it. It will only raise the price, enriching people who already hold it, encouraging them to spend, and at the same time raising the price high enough to eventually break the psychological impression that it’s too expensive to buy. When a whole bitcoin costs over 1,000,000, but yet people are still buying and using sats the price won’t really feel relevant anymore. Eventually people will figure out that it’s not a price, it’s a rate, and the only thing that’s too expensive is saving in dollars.