Key Takeaways
- A proposal suggests a U.S. Bitcoin reserve to counter China.
- The reserve would include 1 million bitcoins to reinforce U.S. dominance.
- Trump has pledged to make the U.S. a 'bitcoin superpower'.
The Bitcoin Policy Institute (BPI) is lobbying President-elect Donald Trump and his incoming administration to create a Strategic Bitcoin Reserve, citing national security and global economic competition as key motivations.
Proposed reserve size & goals
Leaked proposals reveal that the stockpile would consist of 1 million bitcoins, aimed at reinforcing the U.S.’s financial dominance and countering China’s growing influence in emerging markets.
A BPI report addressed to Scott Bessent, Trump’s Treasury Secretary nominee, stated:
Bitcoin can enhance the global reach of the dollar network.
Projected economic impact
The report projects the potential geopolitical leverage such a reserve could provide if bitcoin values surge from the current $100,000 to as high as $1.5 million per coin.
BPI argues the plan would safeguard U.S. financial leadership and drive investment in renewable energy, insisting its recommendations prioritize national interests over private bitcoin holders’ gains.
Political support & implementation
The initiative aligns with Trump’s campaign promise to make the U.S. a “bitcoin superpower” and is bolstered by personal lobbying from cryptocurrency executives and Senator Cynthia Lummis (R-WY).
Additionally, Trump has nominated cryptocurrency advocates, including Paul Atkins, to key government roles.
Recent developments
Amidst these developments, the Department of Justice recently announced the planned sale of $6.5 billion worth of bitcoin seized from criminal activities.
