Bitcoin Becomes a National Asset as Governments Create Reserves

The concept of a Bitcoin strategic reserve has gained momentum globally, with over a dozen countries and several US states exploring its implementation. The idea involves governments holding a stockpile of Bitcoin as a national asset, similar to gold or foreign currency reserves.

In the United States, President Trump signed Executive Order 14178 in March 2025, directing the creation of a US Strategic Bitcoin Reserve. The reserve was seeded with approximately 200,000 BTC, valued at around $17 billion at the time of signing, which came from federal agencies' criminal forfeitures and civil seizures.

The executive order prohibits selling any Bitcoin held in the reserve and requires the Treasury and Commerce departments to develop budget-neutral strategies for acquiring additional Bitcoin. This means that new acquisitions cannot be funded through taxpayer dollars or increased taxes.

Critics argue that Bitcoin's volatility makes it unsuitable as a reserve asset, while proponents point out its fixed supply, lack of correlation with traditional assets over long horizons, and potential strategic advantages in early adoption.