In a landmark move signaling a significant shift in U.S. policy towards digital assets, President Donald Trump has signed an executive order to establish a U.S. Bitcoin reserve and a digital asset stockpile. This initiative, revealed on CNBC Crypto World, marks a pivotal moment for the cryptocurrency industry, with economist Noelle Acheson highlighting the implications of this decision for the markets.

The executive order mandates a comprehensive audit of the U.S. government's existing cryptocurrency holdings. David Sacks, a key figure in the White House, emphasized the necessity of this audit, noting that the government estimates it has seized over 400,000 Bitcoins in criminal and civil proceedings over the past decade but lacks a precise accounting. Sacks believes approximately half of these Bitcoins remain under government control. Arkham Intelligence estimates the U.S. holdings at roughly $17.5 billion in Bitcoin and about $400 million in other digital assets within known digital wallets.

According to the executive order, the Treasury and Commerce Departments are tasked with identifying “budget-neutral strategies” to acquire Bitcoin for the reserve, initially limiting acquisitions to forfeited assets. This approach aims to build the digital asset stockpile without incurring additional costs. Sacks likened the Bitcoin reserve and digital asset stockpile to “a digital Fort Knox for cryptocurrency,” drawing a parallel to the Kentucky military base safeguarding the nation’s gold reserves. He clarified that the reserve's goal is long-term preservation, while the stockpile emphasizes responsible stewardship.

While some crypto analysts and enthusiasts had anticipated more aggressive measures for asset acquisition, the current limitations to seized assets have tempered expectations. Charles Edwards of the Capriole Fund commented that the reserve is merely a “fancy title” for assets already under government control, given the absence of active Bitcoin purchases.

President Trump has reiterated his commitment to positioning the U.S. as the global crypto capital. The establishment of a Bitcoin reserve is viewed as a step in this direction, complementing regulatory changes and appointments of crypto supporters across regulatory agencies. The Securities and Exchanges Commission, for instance, has dropped or paused several cases, including its case against crypto exchange Coinbase.

Prior to this executive order, Trump authorized a working group to develop cryptocurrency policies and propose strategies for establishing government crypto strategic reserves. In the near future, key crypto leaders, including Coinbase Global Inc. CEO Brian Armstrong, Strategy CEO Michael Saylor, and Vlad Tenev of Robinhood Markets Inc., are scheduled to meet with Trump, Sacks, and Bo Hines to discuss further pro-crypto policies.

This development follows related news, including discussions at the White House Crypto Summit and analyses of Trump’s plans for a ‘Strategic Bitcoin Reserve’ by various news outlets such as 99 Bitcoins, Invezz, Bitcoin Magazine, Crypto Economy, The Times of India, Finance Magnates, The Los Angeles Times and CryptoNewsZ.