Donald Trump, the 47th President of the United States, has signed an executive order to potentially establish a national digital asset stockpile.
The order signed yesterday emphasizes the importance of blockchain and digital assets for U.S. innovation and economic development.
The development aligns with Trump’s campaign promises, in which he declared plans to make America the Crypto Capital of the world.
President Trump signs executive order to develop a new strategic stockpile of Bitcoin for the United States pic.twitter.com/7U8yc3tdEM
— Documenting ₿itcoin 📄 (@DocumentingBTC) January 23, 2025
Creation of Presidential Working Group for Digital Assets
Per the order, President Trump mandated the creation of a Presidential Working Group that would focus on ‘Digital Asset Markets.’ This group will develop a federal regulatory framework governing digital assets like stablecoins. It will also evaluate the pros and cons of creating a national digital asset stockpile featuring coins like Bitcoin (BTC).
According to the order, David Sacks, the White House AI and Crypto Czar, will chair this group. The group will also include heads of top federal agencies, including the SEC, CFTC, and Treasury Secretary.
Other agencies included in the group are the Secretary of Commerce, the Attorney General, the Director of Management and Budget, the Assistant to the President for National Economic Policy, the Assistant to the President for National Security Affairs, the Homeland Security Advisor, the Secretary of Homeland Security, and the Assistant to the President for Science and Technology.
Timeline for Action
Under the executive order, all federal agencies and top officials included in the group must identify relevant regulations affecting digital assets within 30 days of the executive order date.
These entities must submit recommendations regarding whether the identified regulation should be modified or revoked within 60 days.
Afterward, the working group will submit a comprehensive report with legislative and regulatory proposals for digital assets within 180 days of the executive order’s date. The Assistant for National Economic Policy will submit this report to the President.
CBDC Ban
Interestingly, the order also prohibits any effort to create or promote central bank digital currency (CBDC). Trump had spoken against CBDC during his campaign, noting that it threatens financial privacy.
Now, he has issued an executive order to ban the creation of CBDCs in the U.S. The President warned that any plans or efforts to create CBDCs within the U.S. should be terminated.
Trump Revokes Biden’s Crypto Executive Order
Notably, the newly issued executive order revoked previous policies believed to be stifling the growth of cryptos, including the Biden Administration Executive Order 14067, signed on March 9, 2022. Furthermore, the order also directed the Treasury Secretary to revoke the department’s framework for international engagement on digital assets.
Bitcoin Strategic Reserve
Meanwhile, Trump did not order the immediate creation of a Strategic Bitcoin Reserve (SBR) as many expected. Although he promised to establish a national Bitcoin stockpile during his campaign, the new executive order mandates the Working Group to evaluate the creation or maintenance of this digital asset reserve.
If the Working Group proposes creating a digital asset reserve, the Trump Administration plans to use assets seized by law enforcement agencies for this purpose. Notably, the executive order did not mention the name of any digital asset that will be featured in the reserve.
However, industry stakeholders believe the national reserve will feature multiple crypto assets, ranging from Bitcoin to XRP.
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