US Strategic Reserve Bars Government from Buying Bitcoin

The US government's Strategic Reserve holds approximately 198,000 BTC seized through legal forfeitures and is restricted from purchasing or selling any holdings. According to Bitget CEO Gracy Chen, legal and budget constraints prevent the administration from actively buying Bitcoin.

Chen explains that despite pro-crypto rhetoric, the current administration cannot invest in Bitcoin due to existing laws and financial limitations.

This means the reserve reduces potential sell pressure by locking away coins but does not function as a buyer to drive demand. Investors should focus on other factors such as institutional adoption and macroeconomic conditions rather than expecting government purchases soon.