Markets Unmoved by Trump’s Bitcoin Reserve Plan

Bitcoin’s price dipped by 5% to $85,000 on Thursday following President Donald Trump’s executive order creating a strategic Bitcoin reserve. The reserve will be funded with cryptocurrency seized in criminal and civil asset forfeiture proceedings, rather than through active purchases.

While the order leaves open the possibility of acquiring additional Bitcoin without imposing costs on taxpayers, markets were underwhelmed by the lack of immediate government investment. A separate “US Digital Asset Stockpile” will hold non-Bitcoin crypto, also sourced from forfeitures.

According to Bloomberg, the US currently holds 16.4 billion in Bitcoin and 400 million in other tokens. Trump’s earlier social media announcement had briefly boosted prices, but the market reaction to the executive order was muted.