#BTCReserveStrategy A Bitcoin reserve strategy involves governments, institutions, or companies deliberately holding BTC in reserve—akin to central banks holding gold. This strategy serves as a hedge against inflation, currency devaluation, and geopolitical instability, leveraging Bitcoin’s capped 21‑million supply and global liquidity . In March 2025, the U.S. formally established a Strategic Bitcoin Reserve, funded by seized BTC, managed under a policy that prohibits sales and seeks budget‑neutral acquisition methods . Similar proposals have emerged globally, from El Salvador and Brazil to states like Texas in the U.S. . While proponents highlight diversification and innovation benefits, critics warn about price volatility, regulatory uncertainty, and potential currency risks .