According to multiple sources, the Bitcoin Policy Institute has prepared a draft for an Executive Order proposing the creation of a Strategic Bitcoin Reserve (SBR) under the Exchange Stabilization Fund (ESF).
JUST IN: Bitcoin Policy Institute drafts Executive Order for a Strategic Bitcoin Reserve for President Trump 🇺🇸 pic.twitter.com/bxJHZKa8Ue
— Bitcoin Magazine (@BitcoinMagazine) December 17, 2024
Key Takeaways From Executive Order for Bitcoin Reserve
The “Executive Order on Designating Bitcoin as a Strategic Reserve Asset” draft seeks to position Bitcoin as a cornerstone of the U.S. financial strategy to bolster economic stability and global leadership.
The order emphasizes Bitcoin’s transformative potential as a decentralized, finite, and resilient digital asset, which it likens to “digital gold.” It highlights Bitcoin’s unique ability to diversify and strengthen the U.S. reserve assets.
Through this approach, the institute wants to ensure long-term economic dominance in an increasingly digitized global finance landscape.
The draft contains three primary objectives:
- Strategic Bitcoin Reserve: Establish an SBR to ensure economic growth and safeguard U.S. financial supremacy.
- Bitcoin as a Strategic Asset: Officially designate Bitcoin as a reserve asset held by the U.S. government within the ESF.
- Global Leadership in Digital Assets: Position the U.S. as a hub for digital asset innovation, attracting capital and talent worldwide.
The reserve will be managed by the Secretary of the Treasury with robust, regular audits, and stringent security protocols. All Bitcoin held by federal agencies, including the United States Marshal Services, must be transferred to the SBR within 7 days of the order’s enactment.
The Secretary of the Treasury will develop and implement a program within 60 days to acquire and manage Bitcoin for the ESF.
According to the draft, Bitcoin’s designation as a strategic reserve asset would diversify the ESF portfolio and bolster U.S. economic security in the 21st century.
If approved by the administration, this Executive Order could set a historic precedent, making the U.S. the first nation to formally recognize Bitcoin as a strategic reserve asset.
Acquisition and Custody Protocols
Under the proposal, the U.S. Treasury would allocate no less than $21 billion from the Exchange Stabilization Fund (ESF) to purchase Bitcoin. This program, expected to be completed within a year, will involve collaboration with established market participants to maximize value while minimizing risk.
To safeguard the holdings, a phased custody framework will be implemented:
- Short-term Solutions: Within 30 days, the Treasury will confirm and secure partnership with trusted custodial service providers.
- Long-term Sovereignty: The Treasury, in coordination with agencies like the NSA, CISA, and NIST, will develop self-custody protocols. These will include specialized hardware, multi-signature controls, geographic distribution, and cryptographic proof-of-reserve measures, ensuring a “digital Fort Knox” for national Bitcoin reserves.
The policy also mandates holding Bitcoin for at least 25 years, underscoring its role as a cornerstone of American economic strategy for decades to come.
To build public trust, the Treasury will implement quarterly cryptographic attestations, providing transparency regarding Bitcoin holdings while maintaining security standards.
Also Read: Sławomir Mentzen pledges to adopt a Bitcoin reserve if elected
