Key Takeaways
- Trump created a U.S. sovereign wealth fund via executive order.
- Bitcoin advocates speculate on potential fund investments.
- Polymarket bettors see only a 14% chance of Bitcoin allocation by July.
On Feb. 3, President Donald Trump signed an executive order creating a sovereign wealth fund for the United States.
The fund aims to promote fiscal sustainability, reduce tax burdens, and secure long-term economic stability while strengthening U.S. global financial influence.
Fund objectives
The executive order states:
It is in the interest of the American people that the Federal Government establish a sovereign wealth fund to promote fiscal sustainability, lessen the burden of taxes on American families and small businesses, establish economic security for future generations, and promote United States economic and strategic leadership internationally.
Implementation timeline
The Treasury and Commerce Secretaries have 90 days to submit a plan detailing funding sources, investment strategies, governance structures, and legal considerations.
Global context
Sovereign wealth funds are state-owned investment entities managing national wealth.
Norway’s Government Pension Fund and China Investment Corporation are among the largest, with over 100 such funds worldwide managing a combined $13 trillion in assets.
Bitcoin speculation
Although Bitcoin was not mentioned in Trump’s order, analysts speculate the fund may invest in it due to its leadership.
Commerce Secretary Howard Lutnick and Treasury overseer Scott Bessent have publicly supported Bitcoin.
Market projections
Apollo Stats co-founder Thomas Fahrer suggested the fund could reach $5 trillion in assets, arguing a 10% Bitcoin allocation could lead to a $500 billion investment.
However, Polymarket bettors currently place only a 14% probability on Bitcoin investments before July.
