Countdown to the Cryptocurrency Summit

Trump chose to sign an executive order before the White House cryptocurrency summit, essentially defining the core agenda of the meeting in advance to prevent it from being dominated by industry interest groups. By presenting the 'Bitcoin Strategic Reserve' as an established fact, Trump demonstrated policy execution capability while shifting the summit focus from 'industry demands' to 'government planning', weakening the agenda-setting ability of attending companies like Coinbase and MicroStrategy.

Such 'pre-meeting raids' are common tactics in political maneuvering. The core of Trump's signed executive order is to allocate approximately 200,000 bitcoins (worth about $17 billion) confiscated by the U.S. government through judicial means into the strategic reserve, explicitly stating 'no proactive accumulation or sale'.

This policy is more of a political symbol than a practical one. First, by elevating bitcoin to the status of a 'quasi-sovereign asset', it caters to cryptocurrency voters (about 20% of U.S. voters hold crypto assets), solidifying his image as the 'crypto president'.

Secondly, it does not involve fiscal appropriations to purchase new coins (only confiscated assets), thus avoiding Congressional budget disputes while laying the groundwork for a subsequent narrative of 'dual reserves of USD and Bitcoin'.

The market interprets this as a 'zero-sum game'—with no new fiat currency purchase demand, it instead freezes 200,000 bitcoins in circulation (about 1% of the total), leading to a contraction in short-term liquidity. The price of bitcoin plummeted by 5% to $85,000 following the announcement.

Bitcoin is defined as 'digital gold', but its role on the national balance sheet (such as whether it counts as foreign exchange reserves or alternative assets) is not clearly defined, lacking direct stimulation for incremental market funds.

The market previously anticipated that the U.S. government might increase its holdings of bitcoin through purchases or tax incentives, but after the policy was implemented, speculative funds withdrew, resulting in a single-day drop of over 5% in bitcoin, falling below the critical support level of $85,000.

Investors should be wary of such 'policy expectation gaps': the asymmetry between political statements and substantive actions may become a major driver of future market volatility.

Despite short-term market pressure, the long-term impact of the executive order should not be overlooked. The summit has entered its countdown phase, awaiting the bloom.