Trump establishes strategic Bitcoin reserve using seized assets

What just happened? In a move that has both intrigued and disappointed the cryptocurrency market, U.S. President Donald Trump has signed an executive order establishing a strategic reserve of cryptocurrencies. This initiative will utilize tokens already seized by the government through criminal or civil asset forfeiture proceedings. The Strategic Bitcoin Reserve will be capitalized with existing Bitcoin holdings rather than new purchases, leading to a mixed reaction from industry stakeholders.

While some in the crypto community welcomed the announcement, others expressed disappointment as Bitcoin's price dropped more than 5% upon learning that the reserve would not involve government purchases of new tokens. However, the order leaves open the possibility of future acquisitions, provided they do not impose additional costs on taxpayers.

In addition, the U.S. Secretaries of Commerce and Treasury are authorized to develop budget-neutral strategies for acquiring more Bitcoin.

Just a few minutes ago, President Trump ...