๐ฐ๐ช #TrumpBTCTreasury ๐ช๐ฐ
๐ฐ On March 6, 2025, President Donald Trump signed an Executive Order establishing a Strategic Bitcoin Reserve and a U.S. Digital Asset Stockpile, using Bitcoin and other cryptocurrencies seized in criminal or civil forfeiture proceedings.
๐ฐ The reserve, capitalized with approximately 200,000 BTC (~$18 billion), aims to position the U.S. as a leader in digital finance, treating Bitcoin as a reserve asset akin to โdigital gold.โ The Treasury and Commerce Secretaries are tasked with exploring budget-neutral strategies to acquire more Bitcoin, though no taxpayer funds will be used.
๐ฐ The Digital Asset Stockpile includes other tokens like Ethereum, XRP, Solana, and Cardano, but only from forfeitures, with potential sales allowed.
๐ฐ Trump Media & Technology Group, majority-owned by Trump, also announced a $2.5 billion raise to create a Bitcoin treasury, mirroring corporate trends like MicroStrategyโs strategy.
๐ฐ This move, involving $1.5 billion in stock and $1 billion in convertible notes, aims to bolster the companyโs balance sheet with Bitcoin as a core asset, despite a 10% share price drop post-announcement.
๐ฐ Market reactions are mixed. Bitcoinโs price dipped 5% to $85,000 after the reserve announcement but later recovered to $89,200. Critics argue the reserve benefits existing crypto investors and raises conflict-of-interest concerns due to Trumpโs crypto ventures, including World Liberty Financial and $TRUMP memecoin.
๐ฐ Proponents see it as a step toward mainstream crypto adoption, potentially driving institutional investment.
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