The U.S. Treasury has announced plans to increase the Strategic Bitcoin Reserve using seized assets and budget-neutral methods. Details of this initiative are outlined by Treasury Secretary Scott Bessent.
Clarification on the Strategic Bitcoin Reserve
Treasury Secretary Scott Bessent confirmed that forfeited bitcoins will form the foundation of the reserve established by President Trump's March executive order. He clarified that the government will not purchase bitcoin directly but will retain seized assets.
Potential Funding Methods for the Reserves
Some supporters suggested that the reserve could be expanded using budget-neutral methods, such as selling gold or utilizing surpluses. This approach would allow the reserve to grow without new spending from the government.
Predictions for Future Bitcoin Purchases
Scott Bessent reaffirmed that the government will retain all confiscated bitcoins, meaning previously sold assets can now strengthen the reserve. Predictions, including issuing bitcoin bonds or selling gold, may be considered for further increasing the reserves.
The U.S. Treasury aims to expand the Strategic Bitcoin Reserve using seized assets without increasing costs for taxpayers. The president's order supports these initiatives, and future strategies will be discussed in accordance with budget-neutral principles.
