On Thursday, U.S. President Donald Trump signed an executive order to create a strategic reserve of bitcoin, just one day before meeting with cryptocurrency industry leaders at the White House.
The reserve will be funded using bitcoin seized by the federal government during criminal or civil asset forfeiture cases, according to David Sacks, the White House’s cryptocurrency advisor and billionaire, who shared the details in a post on social media platform X.
Participants at Friday’s crypto summit at the White House expect Trump to use the occasion to formally announce his plan to establish a strategic reserve consisting of bitcoin and four additional cryptocurrencies.
Earlier in the week, Trump revealed the five digital assets he intends to include in the reserve, causing a surge in the market prices of each. These assets are bitcoin, ether, XRP, solana, and cardano, the president confirmed.
It remains unclear how the reserve will be managed or how it will directly benefit American taxpayers.
Trump’s decision to back the cryptocurrency sector, which heavily funded his and other Republican campaigns in the November elections, has raised concerns among some conservatives and crypto advocates about potential handouts to an already affluent group and the potential undermining of the legitimacy of the digital currency market.
Supporters, however, contend that the reserve could allow taxpayers to profit from the potential growth in crypto prices.
The president’s actions in favor of the crypto industry have also sparked questions about possible conflicts of interest. Trump’s family has launched cryptocurrency meme coins, and he personally holds an interest in World Liberty Financial, a crypto platform.
Trump’s team has stated that he has relinquished control of his business ventures, which are currently being examined by independent ethics lawyers.
{Matzav.com}