BlackRock, a Wall Street asset management giant that manages $10 trillion globally, has expressed support for the "Strategic Bitcoin National Reserve" proposed by US President-elect Donald Trump, and VanEck, which has issued a Bitcoin spot ETF, has also joined the ranks. Once the new government signs an executive order, the US Treasury will absorb Bitcoin assets and put them into the foreign exchange stabilization fund.
CryptoSlate reports that BlackRock has “endorsed” the idea of establishing a strategic Bitcoin national reserve as U.S. states and the Trump administration accelerate plans to institutionalize digital assets.
The development, revealed by Dennis Porter, CEO and co-founder of the Satoshi Act Fund, has reignited debate over the role of Bitcoin in the country’s economic strategy.
BlackRock, which manages more than $10 trillion in assets, has not yet issued an official statement confirming the claim, but the company has previously emphasized Bitcoin's potential as a hedge against inflation and a tool for reserve diversification.
Porter told the cryptocurrency media: "It is natural for BlackRock to promote the establishment of strategic Bitcoin reserves. Bitcoin is in line with the incentive mechanism. Now that BlackRock supports Bitcoin, they will promote policies that support the technology. When the incentive mechanism is aligned, we are all winners."
On Tuesday (November 19), Matthew Sigel, head of digital asset research at VanEck, formally supported Trump's proposal for a strategic Bitcoin national reserve.
Wyoming Senator Cynthia Lummis has introduced a strategic reserve bill called the "Bitcoin Act" and previously stated that the bill would be implemented within 100 days of Donald Trump taking office.
As of November 19, the bill has become the fourth most viewed legislative document in the United States.
Porter also revealed that the Trump administration is considering issuing an executive order to formalize the reserve in line with the president-elect’s broader pro-Bitcoin stance.
Supporters argue that Bitcoin's decentralized nature, limited supply and independence from the traditional monetary system make it an ideal complement to gold and can protect the U.S. economy from the devaluation of the dollar.
Additionally, Porter said state governments are scrambling to pass legislation to build up their own strategic Bitcoin reserves in anticipation of President-elect Donald Trump signing an executive order on the matter.
Porter believes that “states will play a leading role” and frame the initiative as a decentralized one in the spirit of Bitcoin.
While supporters see Bitcoin as a hedge against inflation and a modern reserve asset, critics have raised major concerns about its volatility, environmental impact and security risks. Bitcoin's price has historically been volatile, and if adopted on a large scale, it could destabilize national reserves.
Skeptics say relying on an asset whose swings are so unpredictable could expose the U.S. economy to unnecessary risk.
Security threats should not be underestimated. As a digital asset, Bitcoin is vulnerable to hacking, cyberattacks, and theft. Major breaches in the crypto space have highlighted the vulnerabilities of storage solutions, even institutional-grade systems. Critics worry that national Bitcoin reserves could become a prime target for bad actors, jeopardizing national economic security.
Key Steps to Building a Strategic US Bitcoin Reserve
Porter claimed that Donald Trump would then sign an executive order to create the reserve.
This would also include halting auctions of Bitcoin currently held by the U.S. Marshals Service.
In the next stage, the U.S. Treasury will absorb these Bitcoin assets and put them into the Exchange Stabilization Fund.
Over time, the Treasury will continue to accumulate Bitcoin as a reserve.
