Trump launches ‘digital Fort Knox’

US President Donald Trump has launched two new mechanisms for federal government cryptocurrency assets.

A presidential executive order on Thursday has established a Strategic Bitcoin Reserve and a US Digital Asset Stockpile, overseen by the Treasury and dedicated to Bitcoin and other cryptocurrencies.

The administration considers these digital assets, particularly Bitcoin, as stable stores of value that are likely to appreciate over time due to inherent scarcity.

”The reserve is like a digital Fort Knox for the cryptocurrency often called ‘digital gold’,” White House crypto tsar David Sacks explained, estimating that the government currently owns roughly 200,000 bitcoins worth over $17 billion. Sacks added that in the past the US sold some 195,000 bitcoins for just $366 million, representing a significant financial loss for taxpayers.

The primary source of the US government’s cryptocurrency holdings is derived from criminal or civil asset forfeiture. Trump has instructed the Treasury secretary to explore “budget neutral” strategies for acquiring more bitcoins, although this directive does not extend to other digital assets.