Solana Founder Says No to SOL and BTC Reserves: ‘Putting Government in Charge Will Kill Decentralization’

Solana Labs co-founder Anatoly Yakovenko has raised concerns over the U.S. government’s plan to create a strategic crypto reserve

He argued that government involvement could undermine decentralization. For context, Yakovenko’s remarks follow U.S. President Donald Trump’s recent disclosure of five digital assets set to be included in the reserve—Bitcoin, Ether, XRP, Solana, and Cardano. 

Trump’s announcement on Truth Social came after his January executive order on digital assets. Additionally, with the White House Crypto Summit scheduled for March 7, the initiative has sparked widespread debate among industry leaders over its potential impact on financial policy and the crypto market.

Yakovenko Warns

Yakovenko outlined his reservations regarding a national crypto reserve, stating that decentralization could fail if the government controlled digital assets. 

He suggested that if a reserve were necessary, it should be governed by clear, objective criteria. While he did not specify exact benchmarks, he indicated that Solana’s ecosystem would meet any fair standards set for inclusion.

Notably, the discussion gained traction after crypto journalist Laura Shin reported that Ripple allegedly advocated for Solana’s inclusion to strengthen XRP’s credibility within the reserve.

This revelation has added another layer of complexity to the debate, with industry players questioning the motivations behind the reserve’s composition.

My reserve order of preference

1. No reserve, because if you want decentralization to fail you’d put the government in charge of it.

2. Or states run their own reserve as a hedge against the fed making a mistake

3. Or if there has to be a reserve, it’s based on objectively… https://t.co/LfYXCIeRnG

— toly 🇺🇸 (@aeyakovenko) March 6, 2025

Bitcoin Strategic Reserve Concerns

For instance, entrepreneur Joe Lonsdale highlighted what he sees as the contradiction of the federal government exerting significant control over a currency designed to be decentralized.

He argued that taxation should be minimal and criticized traditional government spending and crypto-related initiatives funded through public money.

Lonsdale expressed concerns over what he described as unjustified financial policies, stating that it is wrong for his earnings to be taken for politically motivated spending or crypto-related ventures.

While he acknowledged the need for government funding in national defense, judicial systems, and prisons, he insisted that certain institutions, like national parks, should be self-sustaining. He called for an end to what he sees as unnecessary financial schemes.

Elsewhere, Austin Campbell, a crypto entrepreneur and professor at NYU, also opposed the idea of a Bitcoin Strategic Reserve (BSR). He emphasized that his stance was not against Bitcoin itself but against the risks of government-controlled crypto reserves.

Campbell argued that adopting Bitcoin as part of the national reserve could accelerate the dollar’s decline and signal poor fiscal management. He warned that such a move could restrict the government’s ability to manage economic downturns, potentially leading to deflationary crises.

Additionally, he highlighted Bitcoin’s lack of practical utility in times of crisis. Unlike physical commodities, Bitcoin cannot be used for essential functions such as energy production or defense. He cautioned that if the U.S. government held large amounts of Bitcoin, it might be forced to sell off reserves during economic downturns, creating volatility in the market.