Detailed explanation of Trump's BTC executive order: the United States establishes a strategic BTC reserve, and the Treasury Department and the Department of Commerce have the right to purchase BTC

On March 6, 2025, President Donald J. Trump signed an executive order establishing the Strategic Bitcoin Reserve and the U.S. Digital Asset Stockpile, ensuring not only the United States' leadership in government digital asset management but also signaling a significant shift in the global Cryptocurrency strategy.

The executive order treats BTC as a national reserve asset and requires the US Treasury to manage the reserve. The BTC reserve will primarily come from assets obtained by the federal government in criminal or civil forfeiture proceedings. In addition, relevant agencies will assess their legal authority to determine whether they can transfer their held BTC to the strategic reserve.

However, simply nationalizing the confiscated BTC has disappointed some in the community, as it is not the expected "buy BTC" policy.

(Trump signs Strategic BTC Reserve Order, not spending money to buy encryption reserves, BTC down to 84K)

The government has promised not to sell strategic BTC reserves.

According to the executive order, all BTC deposited into the Strategic BTC Reserve will not be sold but held as national reserve assets for the long term. In addition, the Treasury and Commerce Departments are responsible for devising budget-neutral strategies to acquire additional BTC, provided that these strategies do not incur additional costs on American taxpayers.

At the same time, the executive order also established a 'digital asset inventory' independent of the BTC reserves, which includes other digital assets ( such as Ethereum, USDC, etc. These assets also come from government confiscation of digital assets. Unlike the BTC reserves, the U.S. government will not actively purchase more digital assets into this inventory, and the Treasury Secretary has the authority to decide whether to sell these assets to ensure responsible management.

To fill the Cryptocurrency management vacancy in the government and strengthen the supervision mechanism

For a long time, the US government has lacked a unified policy in dealing with confiscated Crypto Assets, resulting in these assets being dispersed among different federal agencies without supervision and a strategy to maximize value. This management chaos has already resulted in American taxpayers losing over 17 billion USD, mainly because the government sold off too early when the BTC price was low instead of holding on for a price increase.

The aim of this executive order is to address existing management deficiencies, ensure centralized management of encryption assets, and enhance transparency and traceability. All government agencies must submit complete reports of digital asset holdings to the Minister of Finance and the "President's Digital Asset Market Working Group" to establish a unified regulatory mechanism and ensure that these assets are no longer in a state of management chaos.

BTC as the 'digital gold,' the United States seizes strategic advantage

As the first Cryptocurrency, BTC is known as the 'digital gold', with its limited total supply of 21 million making it a scarce asset highly sought after in the market. Governments around the world are also beginning to realize the potential strategic value of BTC, rushing to increase their holdings to strengthen their financial reserves.

Currently, the United States holds a large amount of BTC, but has not fully utilized this advantage in the past to strengthen its international financial position. By establishing a strategic BTC reserve, the U.S. government can not only solidify its global economic influence but also ensure its leadership position in the digital asset field. This move is similar to the concept of a gold reserve, making BTC another key pillar of national financial stability.

Trump fulfills promise: Building the United States into the 'Global Crypto Assets Hub'

The Trump administration has consistently stressed that the United States should become the global leader in cryptocurrency, and this executive order is an important step in fulfilling that commitment.

During the election campaign, Trump expressed support for the development of the encryption industry, emphasizing the need for the United States to embrace digital assets to promote economic growth and technological innovation. In an interview, he said, 'I have a very open and positive attitude towards Cryptocurrency companies, our country must become a leader in this field.'

After taking office, he quickly pushed for relevant policies and signed an executive order to promote the United States' leadership in the digital asset field within the first week. In addition, the Trump administration appointed a 'Crypto Czar' to oversee related policies and planned to host the first-ever Cryptocurrency summit at the White House, further demonstrating the government's emphasis on the digital asset industry.

With the establishment of strategic BTC reserves and digital asset inventories, the United States is paving the way to become the global center of Crypto Assets. This will not only enhance the U.S.' influence on the digital economy but also ensure that the government can better manage and utilize Crypto Assets, providing a solid foundation for future economic development.

This article explains in detail Trump's BTC executive order: the United States establishes a strategic BTC reserve, and the Treasury Department and the Department of Commerce have the right to purchase BTC, first appeared on Chain News ABMedia.