White House continues to evaluate structure for U.S. bitcoin reserve

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White House bitcoin reserve evaluation

Highlights

White House is still debating whether to house the Strategic Bitcoin Reserve and U.S. Digital Asset Stockpile under Treasury or Commerce, delaying final framework decisions.
Trump's March 2025 executive order initiated the reserve, with over 300,000 bitcoin ($21 billion) potentially involved, but legislative inaction leaves the project legally uncertain ahead of midterm elections.
Bitcoin's price drop from $93,000 at the order's launch to just above $64,000 now complicates further accumulation for the federal reserve and frustrates industry supporters expecting swifter action.

Federal structure and legislative hurdles

As reported by CoinDesk, citing Bloomberg, the administration is still weighing whether the reserve and the separate digital asset stockpile should be housed at the Treasury Department or the Commerce Department. The debate has slowed efforts to finalize the framework for what Trump has described as a strategic bitcoin reserve.

White House spokeswoman Liz Huston says the administration continues to evaluate the best structure for both the Strategic Bitcoin Reserve and the U.S. Digital Asset Stockpile. Trump launched the effort through an executive order in March 2025, and federal agencies have since reviewed the government's crypto holdings, though officials have not disclosed the total.

White House crypto adviser Patrick Witt and his predecessor have both said congressional action is needed to give the project a firmer legal basis. No legislation has yet moved forward in either chamber, leaving the initiative exposed to political uncertainty ahead of this year's midterm elections.

Market implications and reserve questions

Even if officials settle on a structure, uncertainty remains over whether the government can formally transfer its bitcoin holdings into the reserve. Those holdings are estimated at more than 300,000 bitcoin, worth about $21 billion at current prices cited in the report.

The administration has framed the reserve as a long-term holding rather than an emergency stockpile, which sets it apart from the usual meaning of a strategic reserve. Trump also directed officials to explore ways to acquire more bitcoin without using taxpayer money, though no final mechanism has emerged.

Crypto industry supporters had largely treated the reserve as a settled plan when Trump first announced it, and delays have added to frustration among investors and lobbyists waiting for concrete action. Bitcoin has also fallen from about $93,000 when Trump issued the order to just above $64,000 in the current report, complicating the economics of any near-term expansion of federal holdings.

Our earlier article on Strategy’s Bitcoin sale highlighted how the company liquidated 3,588 BTC for about $216 million to boost liquidity and support preferred dividend payments while rolling out a $1.25 billion BTC Monetization Program. We also noted that these capital-structure moves came amid shifting Bitcoin sentiment and helped frame how large holders’ decisions can influence expectations for broader market supply and demand.

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