President Trump Establishes $21 Billion National Crypto Stockpiles Alongside Traditional Reserves

President Donald Trump’s recent executive order has established two national stockpiles of crypto assets, positioning digital currencies alongside traditional assets like gold and foreign currencies in the U.S. reserve. These assets, seized by federal agencies in criminal or civil proceedings, are estimated to total over $21 billion in cryptocurrency. The Strategic Bitcoin Reserve, dubbed “a virtual Fort Knox for digital gold,” and the U.S. Digital Asset Stockpile will hold other cryptocurrencies. The reserves are cost-neutral for taxpayers and primarily composed of assets seized from crimes such as scams and dark net market sales. Chainalysis, a blockchain analytics firm, estimates the U.S. government holds about $20.9 billion in its top 20 crypto holdings, including bitcoin and various other tokens. The Treasury Department has not disclosed specific details about these holdings. The creation of these reserves aims to centralize government crypto caches and provide a strategic advantage, though economists warn that national reserves of cryptocurrency may primarily benefit existing investors. The crypto industry largely supports the reserves, viewing them as a reputational boost, though some critics argue that close government association could undermine crypto’s original mission of decentralization.