In recent remarks, David Sacks, crypto czar under President Trump, confirmed that the U.S. government is authorized to acquire more Bitcoin for its strategic reserve, contingent on maintaining a budget-neutral approach. This statement is part of a broader agenda aimed at enhancing the country's digital asset strategy. Trump signed an executive order in March 2025 to establish this reserve.
During a discussion with Gemini co-founders Cameron and Tyler Winklevoss, Sacks highlighted that while federal purchases of Bitcoin are possible, they are not guaranteed. He emphasized, “I can’t promise anything, but there is a pathway to doing that… if they can figure out how to fund it, they do have presidential authorization ready.”
The government's initial proposal includes utilizing the 200,000 Bitcoin previously forfeited from various civil and criminal assets, valued at around $22 million. Funding for future acquisitions could come from reallocating surplus funds from other government programs.
Sacks believes that if key individuals like Howard Lutnik and Scott Bressent are persuaded to participate in these purchases, it could negate any additional taxes on cryptocurrency transactions. Under Trump's directive, there is hope to finalize key legislation, including the Genius Act and a market structure bill, by August. The aim is to reform the crypto regulatory landscape in the U.S. and prevent any backtracking on previous advancements.
Sacks also reinforced that the government must adhere to a budget-neutral strategy when acquiring Bitcoin, which means finding a way to do so without increasing national debt or levying new taxes. This requirement falls on cabinet members to devise a viable funding strategy.
The pivot towards digital assets underlines a significant shift in how the U.S. government plans to engage with cryptocurrency, with possible long-term implications for the market.
During a discussion with Gemini co-founders Cameron and Tyler Winklevoss, Sacks highlighted that while federal purchases of Bitcoin are possible, they are not guaranteed. He emphasized, “I can’t promise anything, but there is a pathway to doing that… if they can figure out how to fund it, they do have presidential authorization ready.”
The government's initial proposal includes utilizing the 200,000 Bitcoin previously forfeited from various civil and criminal assets, valued at around $22 million. Funding for future acquisitions could come from reallocating surplus funds from other government programs.
Sacks believes that if key individuals like Howard Lutnik and Scott Bressent are persuaded to participate in these purchases, it could negate any additional taxes on cryptocurrency transactions. Under Trump's directive, there is hope to finalize key legislation, including the Genius Act and a market structure bill, by August. The aim is to reform the crypto regulatory landscape in the U.S. and prevent any backtracking on previous advancements.
Sacks also reinforced that the government must adhere to a budget-neutral strategy when acquiring Bitcoin, which means finding a way to do so without increasing national debt or levying new taxes. This requirement falls on cabinet members to devise a viable funding strategy.
The pivot towards digital assets underlines a significant shift in how the U.S. government plans to engage with cryptocurrency, with possible long-term implications for the market.
