The concept of using cryptocurrencies to issue government bonds is gaining traction in the U.S., supported by statements from Washington.
New Approach to Cryptocurrencies
At the XRPL Apex 2025 conference in Singapore, former CFTC Chair Chris Giancarlo stated that the concept of government bonds backed by assets like Bitcoin and XRP is "more than a possibility." According to him, the current administration is taking a different approach to managing digital assets compared to previous ones. Giancarlo noted that federal agencies usually sold off seized crypto, but the administration now sees holding these assets as a way to bolster the country's financial standing.
Crypto as a Strategic Reserve
Giancarlo explained that the government is looking to use digital assets strategically. He compared this initiative to how the U.S. manages its Strategic Petroleum Reserve, not only for emergencies but as a tool to stabilize markets. This thought process is now being extended to cryptocurrencies amidst global geopolitical changes, such as the push by BRICS nations to develop alternatives to the U.S. dollar.
The U.S. Already Holds Billions in Crypto
According to Giancarlo, the administration is already building crypto reserves. In March, an executive order was signed creating the Strategic Bitcoin Reserve, which currently holds over 200,000 BTC valued at over $22 billion. Additionally, a Digital Asset Stockpile was launched to manage other tokens such as Ethereum and Solana. These assets are viewed as long-term holdings, similar to gold reserves.
Thus, the idea of using cryptocurrencies as a tool for the U.S. government's financial strategy is becoming increasingly plausible, opening new avenues for asset management.
