Donald Trump fulfilled promises and signed an executive order to establish a Bitcoin strategic reserve and a separate US digital asset stock.

While some industry figures have praised order, others remain skeptical. They argue that the initiative is little more than a reformulation of existing governmental possessions, and especially without a new substantial strategy.

Donald Trump signs order for Bitcoin Strategic Reserve

The order directs the US Treasury Department to initially finance Bitcoin Strategic Reserve with BTC seized via confiscation of criminal and civil actions. The administration promised not to sell these assets.

Bitcoin, the original cryptocurrency, is referred to as “digital gold” due to scarcity and safety, never having been hacked. With a fixed supply of 21 million currencies, there is a strategic advantage in being among the first nations to create a strategic reserve of Bitcoin, says the order.

Data from Arkham Intelligence show that the US government has 198.109 BTC in its public portfolios, valued at $ 17.5 billion to current market prices.

Executive order requires accounting of government assets

Despite this substantial possession, David Sacks, the AI ​​and crypto tsar of the White House, noted that a comprehensive audit of the government’s digital assets has never been performed. The new executive order requires this accounting.

Bitcoin premature sales have cost US taxpayers more than $ 17 billion in lost value. Now the federal government will have a strategy to maximize the value of its possessions, he wrote.

The order also authorizes, for example, neutral budget strategies to potentially acquire more bitcoin. However, critics argue that the reserve lacks substantial impact.

Industry experts divided on Bitcoin Strategic Reserve

Jacob King, founder of Whalewire, ruled out recent attention around the reserve.

In fact, this has existed for over a decade – they are just putting a flashy title to please Bitcoin enthusiasts, commented King.

King also pointed out that the reserve would not involve new Bitcoin purchases. Therefore, he believes that this makes the measure widely insignificant in the large scheme of the market.

Peter Schiff, a declared Bitcoin critic, also opined on the order. According to Schiff, the measure was taken under pressure from donors and conflict cabinet members.

He described the order as a “false” attempt to capitalize on the Bitcoin that the government already has.

If they apprehend more bitcoin, they can be with it too. But they can not buy more, because buying, by definition, requires a payment, schiff posted.

New World Order?

Despite criticism, some industry leaders see order as a significant step in legitimizing Bitcoin, especially in the world scenario.

The ultimate goal was never for the US government to buy all the Bitcoin in the world, these Ryan Rasmussen, Bitwise’s head of research.

Rasmussen explained that the measure will probably lead other countries to buy Bitcoin. He also hopes that he presses wealth managers, financial institutions, pensions and donations to adopt cryptocurrency.

The reserve, Rasmussen said, will relieve concerns about the US sell their possessions and can pave the way for future acquisitions. He added that the measure increases the probability of US states adopting Bitcoin.

Matt Hougan, Cio da Bitwise, also agreed. He pointed out that order could significantly reduce the likelihood of future Bitcoin prohibitions. Hougan added that reserves it,

Accelerates the speed with which other nations will consider establishing strategic Bitcoin reserves as it creates a short -term window for nations anticipate potential additional US purchases.

Analyst Nic Carter also praised the decision, calling her successful fulfillment of a campaign promise. Thus, he pointed out that Bitcoin received official US government approval, a distinction not granted to other cryptocurrencies. Carter emphasized that the use of tax -free funds helped, for example, to protect the initiative from criticism.

The announcement could not have been better, stated.

The signature of the executive order occurred only one day before the Crypto White House summit. Initially, Trump was expected to sign Bitcoin’s reserve order at the summit, which had boosted Bitcoin prices. However, the royal signature led to a drop in cryptocurrency value.

After briefly recovering this level on March 5, Bitcoin fell below $ 90,000. At the time of publication, Bitcoin was being negotiated at $ 87,469, marking a 4.5% drop in 24 hours.