U.S. Treasury Secretary Scott Bessent has clarified the administration's bold plan to create a strategic cryptocurrency reserve, emphasizing that the government will not be buying Bitcoin or other digital assets. Instead, the reserve will consist solely of crypto seized through legal actions, including criminal investigations—a move aimed at turning these confiscated assets into a “digital Fort Knox,” a secure and substantial government-managed Bitcoin stockpile.
Currently, the U.S. government holds an estimated $15 billion to $20 billion in Bitcoin, primarily accumulated through asset forfeitures. Secretary Bessent confirmed that the Treasury will halt any further sales, signaling a shift toward treating these holdings as a long-term strategic asset rather than a commodity for short-term trading.
This initiative stems from an executive order signed by President Donald Trump in March 2025, which established the Strategic Bitcoin Reserve and the U.S. Digital Asset Stockpile. The order directs all federal agencies to account for their digital assets and consider transferring them to the Treasury, consolidating these holdings into a national reserve. The aim is clear: position the United States as a global leader in the digital asset space, breaking away from previous administrations' more cautious approach.
While the policy has drawn attention for its innovative approach, it also raises questions about market dynamics and the potential influence of a massive government crypto reserve. Critics warn that such concentration could introduce new risks and uncertainties into the digital asset ecosystem.
