President Donald Trump’s initiative to create a “Strategic Bitcoin Reserve” within the federal government was met with enthusiasm from the cryptocurrency industry when he took office, as many viewed it as a sign of bitcoin’s emergence as a legitimate asset. However, nearly a year has elapsed, and the reserve remains nonexistent.
While Trump’s administration undertook preliminary steps to assess the government’s cryptocurrency holdings, significant obstacles have hindered the establishment of the U.S. bitcoin reserve. Central to these challenges is a directive from a March 2025 order that emphasizes the necessity for new legislation to implement any part of this initiative. Without Congressional action, the Trump administration’s Treasury Department lacks the authority to create the specialized accounts needed for the reserve. Patrick Witt, Trump’s crypto advisor, noted that the situation posed “novel legal questions” that require resolution.
In Congress, lawmakers like Senator Cynthia Lummis have proposed legislation to facilitate the reserve’s establishment. Currently, the most promising route for the bill’s passage appears to be through inclusion in the National Defense Authorization Act later this year. However, to achieve this, Trump’s administration would likely need to prioritize the issue once again.
Speculation regarding the logistics and funding of the reserve, as well as a separate directive for a digital assets stockpile encompassing various cryptocurrencies, has fluctuated over time. Recently, CNBC commentator Jim Cramer suggested that Trump’s team was prepared to initiate the reserve once bitcoin prices dipped to $60,000, even though there is no defined strategy in place for acquiring the cryptocurrency or the necessary funds.
Despite numerous inquiries, Trump’s crypto officials have refrained from disclosing the amount of bitcoin in federal possession. Estimates, however, suggest that the U.S. could hold over 300,000 bitcoins, with a value exceeding $20 billion. A significant discontent among crypto advocates stems from the absence of direct government purchases of bitcoin, as the initial order only encouraged innovative policies to build the reserve without utilizing taxpayer dollars.
Witt has not provided clarity on the leading ideas for amassing additional bitcoin for the reserve, which is intended for long-term holding rather than as an immediate solution for potential market crises. The White House has not commented on the stalled progress regarding the reserve.
If Trump’s supporters in Congress can successfully attach the reserve legislation to the defense bill, the legislative process typically culminates in December. The funding bill is often utilized to incorporate a wide array of unrelated measures, allowing lawmakers to leverage its passage for various initiatives. However, this strategy would unfold during the “lame duck” period of Congress, during which some members may have been voted out or are preparing to retire—such as Lummis.
Lummis’ proposed legislation aims for the U.S. to acquire a million bitcoins, which would account for approximately 5% of the total projected supply. Despite her efforts as the first chair of the Senate Banking Committee’s digital assets subcommittee, she has only succeeded in getting the bill introduced in committee, where the focus has largely shifted to advancing the Digital Asset Market Clarity Act.
