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05/05/2025, 13:56:44 UTC CHANGED TITLE Everything you wanted to know about Bitcoin Strategic Reserve
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Edited on 05/05/2025, 13:56:44 UTC
Lately, the Ideaidea of a Bitcoin Strategic Reserve (BSR) has surfaced in many news reports. The idea that the US could use Bitcoin as a Strategic Reservestrategic reserve has proven fundamental to propelling the Bitcoin price of bitcoin through the 100K barrier.

In this thread, I will explain what a Strategic Reserve is and Howhow a Bitcoin Reserve is relevant.

1. Definition of a Strategic Reserve
2. The current proposal: B.I.T.C.O.I.N. Act
3. Implementation Detailsdetails: how could it be done
4. Other Implementations around the worldPrice expectations from a BSR launch
5. Opinions and Thoughs from other stakeholdersOther implementations around the world
6. Market ExpectationOpinions and thoughts from other stakeholders
7. Links and documentsMarket expectations
8. Links and documents


1. Definition of a Strategic Reserve

A strategic reserve is a stockpile of critical resources set aside by a government, large institution, or other entity for use in exceptional circumstances — such as emergencies, severe supply disruptions, wars, or periods of extreme market volatility.
Unlike regular inventories that cycle through daily usage, strategic reserves are intentionally maintained as a buffer against uncertainty, ensuring stability and security in times of crisis.

Strategic Reservesreserves have a few characteristics that are unique and make them different from commonstandard storage:
  • Long-Term Storage: Strategicstrategic reserves are typically stored for extended periods and released only when severe disruptions occur.
  • Critical Nature of Resources: The commodities or assets involved are essential to national security, economic stability, or societal well-being.
  • Controlled Access: Governmentsgovernments or top-level governing bodies usually oversee the maintenance, release, and replenishment of these reserves, guided by well-defined protocols.

For example, the United States currently has two main Strategicprincipal strategic reserves.

  • Strategic Petroleum Reserve (SPR): after the oil crisis in the '70s, the US government decided to create a stockpile of oil administered by the U.S.US Department of Energy to be used both to protect the US economy against extreme market price fluctuations or as a reserve to provide power to the domestic industrial activities in case of a supply chain problem, or war. Currently, the SPR has more than 390 Barrelsbarrels of oils (the maximum allowed capacity of the reserve is more than 700 million barrels) held in 4  salt Cavescaves along the Gulf of Mexico for a valuation of about more than 27 billion USD, with the WTI trading at around 75$ per barrel.
  • Gold Reserve : The US has the largest Gold Reservegold reserve in the world, with about 8,133.5 metric tons, totalling almost 700 billion USD in value. Nearly 65% of those reserves are held at the United States Bullion Depository, at Fort Knox.
    The federal governmentFederal Government owns the gold. The Governmentgovernment has issued "Gold Certificates" to the Federal Reserve Banks for a total amount of $11 billion. ThisThese certificate serves The Federal Reserve Banks as a small portion of collateral for the Federal Reserve Notes. The Federal Reserve doesn't own Goldgold.

The US government has many other Strategic Reserves:, including natural gas, grains, food, and cheese (it used to have raisins Reservesreserves until 2015).


2. The current proposal: B.I.T.C.O.I.N. Act

Cynthia Lummis, a Republican senator from Wyoming, introduced the idea of a Bitcoin Strategic Reserve in July. She has advocated for the U.S.US government to consider Bitcoin as part of its long-term strategic reserves. SheIn the US Senate, she named the bill BITCOINB.I.T.C.O.I.N. (Boosting Innovation, Technology and Competitiveness through Optimized Investment Nationwide) Act in the U.S. Senate.

Quote
July 31, 2024
WASHINGTON, D.C. – Following her announcement of a historic proposal to supercharge the U.S.US dollar and pay down the national debt by establishing a strategic Bitcoin reserve, today U.S.US Senator Cynthia Lummis (R-WY) officially introduced the Boosting Innovation, Technology and Competitiveness through Optimized Investment Nationwide (BITCOINB.I.T.C.O.I.N.) Act in the U.S.US Senate.
“"As families across Wyoming struggle to keep up with soaring inflation rates and our national debt reaches new and unprecedented heights, it is time for us to take bold steps to create a brighter future for generations to come by creating a strategic Bitcoin reserve,”" said Lummis. “"Bitcoin is transforming not only our country but the world and becoming the first developed nation to use Bitcoin as a savings technology secures our position as a global leader in financial innovation. This is our Louisiana Purchase moment that will help us reach the next financial frontier.”"
The BITCOINB.I.T.C.O.I.N. Act establishes a strategic Bitcoin reserve to serve as an additional store of value to bolster America’'s balance sheet and ensure the transparent management of Bitcoin holdings of the federal governmentFederal Government. Specifically, the legislation would:
  • Establish a decentralized network of secure Bitcoin vaults operated by the United States Department of Treasury with statutory requirements ensuring the highest level of physical and cybersecurity for the nation’'s Bitcoin holdings.
  • Implement a 1-million-unit Bitcoin purchase program over a set period of time to acquire a total stake of approximately 5% of the total Bitcoin supply, mirroring the size and scope of gold reserves held by the United States.
  • Be paid for by diversifying existing funds within the Federal Reserve System and Treasury Department.
  • Affirm self-custody rights of private Bitcoin holders and emphasize that the strategic Bitcoin reserve shall not infringe upon individual financial freedoms.
Source

Her proposals and public statements outline a vision in which the U.S.US treats Bitcoin similarly to other strategic assets — such as gold — in its treasury holdings, which is getting an equal share of the world reserves of Bitcoin and gold under the US government control.

After the Trump Electionelection, the idea gained traction:



The Bitcoin Strategic Reserve Wouldwould be enacted via a taxpayer-neutral operation, enabling the Governmentgovernment to acquire 1 Million Bitcoinsmillion bitcoins, hodling it for at least 20 years:

  • The reserve would be funded by marking the Fed’'s gold certificates to market value and selling them.
  • The Governmentgovernment would use the surplus to buy Bitcoinbitcoin without using Taxpayertaxpayer money.
  • The Department of Justice would transfer the 208,000 Bitcoinbitcoins from the Silkroad CaseSilk Road case to the SBR.
  • The government will buy 200,000 bitcoins annually for four consecutive years.
  • The minimum hodling period would be of 20 years.

The "new" idea concerns repricing the Federal Reserve Certificates at mark-to-market valuations: the certificates were issued at a statutory gold price of $42.22/oz in 1973 and could now be valued at over $2,600/oz.



The gains obtained by this adjustment would enable spending without creating a new debt, achieving the result of beingresulting in a neutral move regarding taxpayers' money.


3. Implementation Details: how could it be done

There are a few ways to transfer bitcoin to the Bistcoin Strategic Reserve:
  • Transfer Bitcoinsbitcoins seized to the FEDTreasury Department. The Department of Justice ownowns 208,000 bitcoins seized from the SilkRoadSilk Road trial. A firstThe bulk of the SBR could be instated by transferring those coins to the FED.
  • Open Market Purchases: The Governmentthe government would buy the Bitcoinbitcoin in the Marketmarket, presumedly via a parntershippartnership with Coinbase. This would be the fastest way of obtaining bitcoins, yet the less efficient. For sure, the slippage in this, or(i.e. the marketprice movement againstcaused by the buying pressure,) in this would be the highest.
  • Strategic ParnershipPartnership with US Miners: this would be a very smartan ingenuous way of doing so. The government could buy the Bitcoinsbitcoins mined in the US at an avergageaverage price. This would benefit the miners with a stable price, and the government limiting the market impact. The Governmentgovernment could also collect tactaxes from mining firms directly in BTC; and offer these subjects some kind of grantgrants to maketilt their elecetricyelectricity balance more tilted toward carvoncarbon neutrality, via renewable energy sources, or even the facilitation to ERCOTs' facilitate ERCOT-style agreementagreements with local grids (ERCOT: "Electric Reliability Council of Texas") agreement between the energy companies and miners to switch off miners during peak energy demand from the electric grids.  TRhisThis perfectly aligns with Donald Trump visions on's vision of the industry.

    :

    Creating this kind of partnership with the private sector would be beneficial forbenefit both the parties involved and the industry as a whole.



4. Other implementations all around the world. Price Expectations from a BSR launch

Several countries have either established or are considering the creationThe launch of strategica Bitcoin reserves:Strategic Reserve would have an enormous impact on market price.
This would happen through different mechanisms:

  • Direct market impact: the buys would impact the market, directly affecting sellers. This could be somewhat mitigated through sophisticated buying strategies, as we have seen, but would dramatically change market microstructure anyway.
  • Indirect Market Impact: the launch of the first BSR would have very strong signalling toward other sovereign authorities, opening the race for the second BSR announcement. There will be a flywheel spinning, attracting other National Bank toward buying bitcoin, like today, there is a race to buy gold.
  • Model-induced Buying: the opening of BSR-induced buying is necessary to propel Bitcoin in the next phase of growth, something that is necessary for all the bullish models around (be it Stock to Flow, Power Law or S-Curve approach) to see their prediction come true. As long as those models are not "negated," the framework is bullish.

Having said that, assessing the precise impact of a BSR is quite tricky, but of course, the effect would be gargantuan.

A couple of predictions:


Novogratz: 500K
Adam Back: Millions

As a ballpark, we could estimate the US buying impact based on what happened with the ETF launch. If the ETF propelled the price from 40K in January 2024 to 100K in December 2024 with 30 Billion in inflows, then 1 million bitcoins, or 100B inflows from the launch of the US SBR, could propel the market from 100K to 300K. This would account only for the first factor, leaving out the impact from factors 2 (Indirect Buying) and 3 (Model Induced Buying).


5. Other implementations are all around the world

Several countries have either established or are considering the creation of strategic Bitcoin reserves.

Amongst the established Bitcoin Reserves:
  • El Salvador: In September 2021, El Salvador became the first country to adopt Bitcoin as a legal tender. Since then, the government has accumulated approximately 5,940 bitcoins, valued at around $582 million as of November 2024. They perform both open market purchases (they are buying one bitcoin per day since), and mining operations.  
  • Bhutan: The Kingdom of Bhutan has been mining Bitcoin using its hydroelectric resources since 2019. More info can be read here: Bhutan Built A Bitcoin Mine On The Site Of Its Failed ‘'Education City'.
    As of November 2024, Bhutan holds about 12,211 bitcoins, worth over $1 billion.
    Contrary to other nations, Bhutan has been quite active in the market, regularly selling the Bitcoinbitcoin they mined.

Some other nations have proposed to instate a domestic SBR:

  • Brazil: In November 2024, Brazilian Congressman Eros Biondini, a Brazilian Congressman, proposed a bill to create a Sovereign Strategic Reserve of Bitcoins (RESBit). The proposal involved buying Bitcoinbitcoin up to 5% of Brazil's international reserves. The initiative seeks to reduce the fluctuation of the Brazilian Realreal estate in order to protect the economy and develop resilience in the economy.
  • Poland: Presidential candidate Sławomir Mentzen has advocated for the establishment of a strategic Bitcoin reserve, along with implementing crypto-friendly regulations to attract investment and increase financial flexibility.
  • Russia: Some Russian lawmakers haveAnton Tkachev has proposed accumulating cryptocurrencies in the state treasury, viewing digital assets as potential alternatives to the U.S.US dollar in international transactions and tackling the sanctions. Russia has been a heavy gold buyer during the last few years.
    Russian Lawmaker Proposes Creating Strategic Bitcoin Reserve: Report
  • Czech Republic: The Czeck Central Bank is looking to convert 5% of their FX reserves into bitcoin.
  • United States



These make clear that the idea of an SRB is not a pure US-centric invention but rather a sensible proposal that could reshape the future of a diverse range of countries.
Apparently, there is more to come, and it is not difficult to believe in what Prince Filip of Serbia Jan3, Jan3 Chief Strategy Officer, is reporting:



Other Statesstates, according to bitcointreasuries.net, have some kind of stash of Bitcoinbitcoin. Still, but these do not consitituteconstitute Bitcoin Strategic Reserves, as they are only seized bitcoins, are often sold, or are temporariltytemporarily held by govenrnmentthe government, waiting to be sold on the market.


56. Opinions and ThoughsThoughts from Other Stakeholders

  • J. Powell
    Bitcoin is a competitor with gold, not the US dollar.
    Fed's Powell says Bitcoin is just like gold, except it's digital
    The declaration that Bitcoin is in competitioncompetes with gold on beingas the Storestore of value asset of choice sent the Bitcoinbitcoin price skyrocketing on Wednesday, Dec 6th, when Bitcoin finally broke the USD 100,000 price level for the first time.
  • Micheal Saylor first spoke about a Strategic Bitcoin Reserve at the Cantor Conference.

  • Robert F. Kennedy Jr. supported an alternative strategic reserve plan to acquire 5 million Bitcoinbitcoin.
  • Ro Khanna, a Democratic House Representative from California, was also supportive of the creation of a Bitcoin Reserve:
    Quote
    “ "We want to make sure that we have the openness to having bitcoin as part of the Federal Reserve and as a reserve asset because of its potential for appreciation and because of its potential to allow America to set the financial standards.”"
  • Bill Dudley rejected the idea of aan SBR as its implementation would be highly impractical and risky.
    According to Dudley, the adoption ofadopting an SBR would only inflate the Bitcoin Price,bitcoin price without a clear benefit to the US, which would be in turn, left invested in a highly volatilityvolatile, illiquid asset.
    Dudley also stated that the BITCOIN ACTB.I.T.C.O.I.N. Act also needs a clear exit strategy.
    Source
  • Bitcoin Policy Institute: Digital Gold Evaluating a Strategic Bitcoin Reserve for the United States

    This essay from the Bitcoin Policy Institute is the best review of the BSR concept so far. DefinetlyIt's a recommended read.
  • Eric Trump: told that BSR is going to happen as Donald Trump takes office.
  • Treasury Borrowing Advisory Committee (TBAC) says that "Primary use case for Bitcoin seems to be a store of value aka digital gold."


67. Market Expectation

How probable is the creation of an SBR?
There is a pool on Polymarket that places the probability of Trump going on with the Proposalproposal in the first 100 days at 29%:



The probability of this measure lies in the first 100 days, adand the President can leverage this as a National Security Matter. This could mean he could issue an Executive OrdersOrder to immediately instate the SBR, as an alternative to the standard path of approval trough congresspath through Congress.


78. Links and documents

Strategic Petroleum Reserve
Gold Holdings
United States Bullion Depository
Bitcoin Treasuries


This post is eligible for my project:


Quote
I am a firm believer in the utility of local boards.
I am lucky enough to be able to express myself in at least a couple of languages, but I know this is not the case for everyone.
Many users post only on the local boards for various reasons, such as language or cultural barriers, lack of interest, or other reasons.
I personally know many very good users (mainly from the Italian sections, for obvious reasons) who don't post in the international sections.

All those users are missing a lot of good content posted on the international (English) section or other boards.

If you think you can help here, visit the thread!
Original archived Everything you wanted to know about Bitcoin Strategic Reserve.
Scraped on 09/12/2024, 22:49:56 UTC
Lately, the Idea of a Bitcoin Strategic Reserve has surfaced in many news reports. The idea that the US could use Bitcoin as a Strategic Reserve has proven fundamental to propelling the Bitcoin price through the 100K barrier.

In this thread, I will explain what a Strategic Reserve is and How a Bitcoin Reserve is relevant.

1. Definition of a Strategic Reserve
2. The current proposal: B.I.T.C.O.I.N. Act
3. Implementation Details: how could it be done
4. Other Implementations around the world
5. Opinions and Thoughs from other stakeholders
6. Market Expectation
7. Links and documents


1. Definition of a Strategic Reserve

A strategic reserve is a stockpile of critical resources set aside by a government, large institution, or other entity for use in exceptional circumstances—such as emergencies, severe supply disruptions, wars, or periods of extreme market volatility.
Unlike regular inventories that cycle through daily usage, strategic reserves are intentionally maintained as a buffer against uncertainty, ensuring stability and security in times of crisis.

Strategic Reserves have a few characteristics that are unique and make them different from common storage:
  • Long-Term Storage: Strategic reserves are typically stored for extended periods and released only when severe disruptions occur.
  • Critical Nature of Resources: The commodities or assets involved are essential to national security, economic stability, or societal well-being
  • Controlled Access: Governments or top-level governing bodies usually oversee the maintenance, release, and replenishment of these reserves, guided by well-defined protocols.

For example, the United States currently has two main Strategic reserves.

  • Strategic Petroleum Reserve (SPR): after the oil crisis in the '70s, the US government decided to create a stockpile of oil administered by the U.S. Department of Energy to be used both to protect the US economy against extreme market price fluctuations or as a reserve to provide power to the domestic industrial activities in case of a supply chain problem, or war. Currently, the SPR has more than 390 Barrels of oils (the maximum allowed capacity of the reserve is more than 700 million barrels) held in 4  salt Caves along the Gulf of Mexico for a valuation of about more than 27 billion, with the WTI trading at around 75$ per barrel.
  • Gold Reserve : The US has the largest Gold Reserve in the world, with about 8,133.5 metric tons totalling almost 700 billion in value. Nearly 65% of those reserves are held at the United States Bullion Depository, at Fort Knox.
    The federal government owns the gold. The Government has issued "Gold Certificates" to the Federal Reserve Banks for a total amount of $11 billion. This certificate serves The Federal Reserve Banks as a small portion of collateral for the Federal Reserve Notes. The Federal Reserve doesn't own Gold.

US government has many other Strategic Reserves: natural gas, grains, food, and cheese (used to have raisins Reserves until 2015).


2. The current proposal: B.I.T.C.O.I.N. Act

Cynthia Lummis, a Republican senator from Wyoming, introduced the idea of a Bitcoin Strategic Reserve in July. She has advocated for the U.S. government to consider Bitcoin as part of its long-term strategic reserves. She named the bill BITCOIN (Boosting Innovation, Technology and Competitiveness through Optimized Investment Nationwide) Act in the U.S. Senate.

Quote
July 31, 2024
WASHINGTON, D.C. – Following her announcement of a historic proposal to supercharge the U.S. dollar and pay down the national debt by establishing a strategic Bitcoin reserve, today U.S. Senator Cynthia Lummis (R-WY) officially introduced the Boosting Innovation, Technology and Competitiveness through Optimized Investment Nationwide (BITCOIN) Act in the U.S. Senate.
“As families across Wyoming struggle to keep up with soaring inflation rates and our national debt reaches new and unprecedented heights, it is time for us to take bold steps to create a brighter future for generations to come by creating a strategic Bitcoin reserve,” said Lummis. “Bitcoin is transforming not only our country but the world and becoming the first developed nation to use Bitcoin as a savings technology secures our position as a global leader in financial innovation. This is our Louisiana Purchase moment that will help us reach the next financial frontier.”
The BITCOIN Act establishes a strategic Bitcoin reserve to serve as an additional store of value to bolster America’s balance sheet and ensure the transparent management of Bitcoin holdings of the federal government. Specifically, the legislation would:
  • Establish a decentralized network of secure Bitcoin vaults operated by the United States Department of Treasury with statutory requirements ensuring the highest level of physical and cybersecurity for the nation’s Bitcoin holdings.
  • Implement a 1-million-unit Bitcoin purchase program over a set period of time to acquire a total stake of approximately 5% of the total Bitcoin supply, mirroring the size and scope of gold reserves held by the United States.
  • Be paid for by diversifying existing funds within the Federal Reserve System and Treasury Department.
  • Affirm self-custody rights of private Bitcoin holders and emphasize that the strategic Bitcoin reserve shall not infringe upon individual financial freedoms.
Source

Her proposals and public statements outline a vision in which the U.S. treats Bitcoin similarly to other strategic assets—such as gold—in its treasury holdings, which is getting an equal share of the world reserves under the US government control.

After the Trump Election, the idea gained traction:



The Bitcoin Strategic Reserve Would be enacted via a taxpayer-neutral operation, enabling the Government to acquire 1 Million Bitcoins, hodling it for at least 20 years:

  • The reserve would be funded by marking the Fed’s gold certificates to market value and selling them.
  • The Government would use the surplus to buy Bitcoin without using Taxpayer money.
  • The Department of Justice would transfer the 208,000 Bitcoin from the Silkroad Case to the SBR.
  • The government will buy 200,000 bitcoins annually for four consecutive years.
  • The minimum hodling period would be of 20 years.

The "new" idea concerns repricing the Federal Reserve Certificates at mark-to-market valuations: the certificates were issued at a statutory gold price of $42.22/oz in 1973 and could now be valued at over $2,600/oz.



The gains obtained by this adjustment would enable spending without creating a new debt, achieving the result of being a neutral move regarding taxpayers' money.


3. Implementation Details: how could it be done

There are a few ways to transfer bitcoin to the Bistcoin Strategic Reserve:
  • Transfer Bitcoins seized to the FED. The Department of Justice own 208,000 bitcoins seized from the SilkRoad trial. A first bulk of the SBR could be instated transferring those coins to the FED.
  • Open Market Purchases: The Government would buy the Bitcoin in the Market, presumedly via a parntership with Coinbase. This would be the fastest way of obtaining bitcoins, yet the less efficient. For sure the slippage in this, or the market movement against the buying pressure, would be the highest
  • Strategic Parnership with US Miners: this would be a very smart way of doing so. The government could buy the Bitcoins mined in the US at an avergage price. This would benefit the miners with a stable price, and the government limiting the market impact. The Government could also collect tac from mining firms in BTC; and offer these subjects some kind of grant to make their elecetricy balance more tilted toward carvon neutrality, via renewable energy sources, or even the facilitation to ERCOTs' style agreement with local grids.  TRhis perfectly aligns with Donald Trump visions on the industry:

    Creating this kind of partnership with the private sector would be beneficial for both the parties involved and the industry as a whole.



4. Other implementations all around the world.

Several countries have either established or are considering the creation of strategic Bitcoin reserves:

Amongst the established Bitcoin Reserves:
  • El Salvador: In September 2021, El Salvador became the first country to adopt Bitcoin as a legal tender. Since then, the government has accumulated approximately 5,940 bitcoins, valued at around $582 million as of November 2024. They perform both open market purchases (they are buying one bitcoin per day since), and mining operations.  
  • Bhutan: The Kingdom of Bhutan has been mining Bitcoin using its hydroelectric resources since 2019. More info can be read here : Bhutan Built A Bitcoin Mine On The Site Of Its Failed ‘Education City.
    As of November 2024, Bhutan holds about 12,211 bitcoins, worth over $1 billion.
    Contrary to other nations, Bhutan has been quite active in the market, regularly selling the Bitcoin they mined

Some other nations have proposed to instate a domestic SBR:

  • Brazil: In November 2024, Brazilian Congressman Eros Biondini, a Brazilian Congressman, proposed a bill to create a Sovereign Strategic Reserve of Bitcoins (RESBit). The proposal involved buying Bitcoin up to 5% of Brazil's international reserves. The initiative seeks to reduce the fluctuation of the Brazilian Real in order to protect the economy and develop resilience in the economy.
  • Poland: Presidential candidate Sławomir Mentzen has advocated for the establishment of a strategic Bitcoin reserve, along with implementing crypto-friendly regulations to attract investment and increase financial flexibility.
  • Russia: Some Russian lawmakers have proposed accumulating cryptocurrencies in the state treasury, viewing digital assets as potential alternatives to the U.S. dollar in international transactions. Russia has been a heavy gold buyer during the last few years.

These make clear that the idea of an SRB is not a pure US-centric invention but rather a sensible proposal that could reshape the future of a diverse range of countries.
Apparently, there is more to come, and it is not difficult to believe in what Prince Filip of Serbia Jan3, Chief Strategy Officer, is reporting:



Other States, according to bitcointreasuries.net, have some kind of stash of Bitcoin, but these do not consititute Bitcoin Strategic Reserves, as they are only seized bitcoins, are often sold, or are temporarilty held by govenrnment waiting to be sold on the market.


5. Opinions and Thoughs from Other Stakeholders

  • J.Powell
    Bitcoin is a competitor with gold, not the US dollar.
    Fed's Powell says Bitcoin is just like gold, except it's digital
    The declaration that Bitcoin is in competition with gold on being the Store of value asset of choice sent the Bitcoin price skyrocketing on Wednesday, Dec 6th, when Bitcoin finally broke the USD 100,000 price level for the first time.
  • Micheal Saylor first spoke about a Strategic Bitcoin Reserve at the Cantor Conference

  • Robert F. Kennedy Jr. supported an alternative strategic reserve plan to acquire 5 million Bitcoin.
  • Ro Khanna, a Democratic House Representative from California, was also supportive of the creation of a Bitcoin Reserve:
    Quote
    “We want to make sure that we have the openness to having bitcoin as part of the Federal Reserve and as a reserve asset because of its potential for appreciation and because of its potential to allow America to set the financial standards.”
  • Bill Dudley rejected the idea of a SBR as its implementation would be highly impractical and risky.
    According to Dudley, the adoption of an SBR would only inflate the Bitcoin Price, without a clear benefit to the US, which would be in turn, left invested in a highly volatility, illiquid asset.
    Dudley also stated that the BITCOIN ACT also needs a clear exit strategy.
    Source
  • Bitcoin Policy Institute Digital Gold Evaluating a Strategic Bitcoin Reserve for the United States

    This essay from the Bitcoin Policy Institute is the best review of the BSR concept so far. Definetly a recommended read.


6. Market Expectation

How probable is the creation of an SBR?
There is a pool on Polymarket that places the probability of Trump going on with the Proposal in the first 100 days at 29%:



The probability of this measure lies in the first 100 days, ad the President can leverage this as a National Security Matter. This could mean he could issue an Executive Orders to immediately instate the SBR, as an alternative to the standard path of approval trough congress.


7. Links and documents

Strategic Petroleum Reserve
Gold Holdings
United States Bullion Depository
Bitcoin Treasuries