Written by: Golden Finance
The strategic Bitcoin reserves of the United States are highly likely to become a reality.
On December 12, 2024, after ringing the bell at the New York Stock Exchange, Trump confirmed in an interview with CNBC that the United States should establish a strategic reserve of cryptocurrency like oil.
In the early hours of December 18, 2024, a draft of the 'Strategic Bitcoin Reserve' presidential executive order, drafted by the Bitcoin Policy Institute, circulated within the industry. This executive order is formally titled 'Executive Order on Designating Bitcoin as a Strategic Reserve Asset within the Exchange Stabilization Fund.'
According to media reports, this presidential executive order aims to 'designate Bitcoin as a strategic reserve asset,' which can take effect as soon as Trump signs it on his first day in office.
Golden Finance has compiled the full text of the executive order draft drafted by the Bitcoin Policy Institute as follows:
(Executive Order on Designating Bitcoin as a Strategic Reserve Asset within the Exchange Stabilization Fund)
By the authority vested in me as President of the United States by the Constitution and the laws of the United States, including Section 5302 of Title 31 of the United States Code, I hereby order as follows:
Section 1: Purpose
As global finance increasingly integrates digital assets and new economic tools, the United States must adjust its financial strategy to maintain stability and leadership in the global economy. Bitcoin is a decentralized and finite store of value, akin to digital gold, whose unique properties can enhance the resilience of the dollar and support U.S. economic interests. This executive order designates Bitcoin as an asset suitable for strategic acquisition within the Treasury's Exchange Stabilization Fund (ESF) and establishes a strategic Bitcoin reserve as a permanent national asset to benefit all American people.
Section 2: Policy
The policy of the United States is as follows:
1. Establish a strategic Bitcoin reserve to promote economic growth and reinforce the long-term financial dominance of the United States;
2. Designate Bitcoin as a strategic asset held by the U.S. government to safeguard the national economic security and competitive advantage of the United States in the 21st century through diversification of assets held within the Exchange Stabilization Fund;
3. Build and develop to attract capital, talent, and sound enterprises, making the United States a global leader in the digital asset industry.
Section 3: Establishment of Strategic Bitcoin Reserves (SBR) and Designation of Bitcoin as a Strategic Reserve Asset
(a) Establishment of Strategic Bitcoin Reserves. The Strategic Bitcoin Reserves (SBR) are hereby established, managed by the Secretary of the Treasury, aimed at enhancing the diversity of U.S. reserve assets. To enhance confidence in these reserves, the strategic Bitcoin reserves will be subject to regular audits, strict security standards, and comprehensive reporting measures to ensure long-term accountability and security.
(b) Consolidation of government-held Bitcoin. Within 7 days of the issuance of this order, any Bitcoin controlled by federal agencies (including the U.S. Marshals Service) shall not be sold, exchanged, auctioned, or otherwise mortgaged, and the legal ownership of such Bitcoin (including final, unappealable judgments in criminal or civil forfeiture actions in favor of the federal government) shall be transferred to the strategic Bitcoin reserve by the head of the respective federal agency.
(c) Designated as a reserve asset. Bitcoin is hereby designated as a strategic reserve asset suitable for purchase and holding within the Exchange Stabilization Fund. Within 60 days of the issuance of this order, the Secretary of the Treasury shall immediately implement an acquisition plan to acquire and manage Bitcoin within the Exchange Stabilization Fund. The goal of the strategic Bitcoin reserve is to establish the undisputed leading position of the United States in this regard.
Section 4: Acquisition and Custody Agreements
(a) Acquisition Plan. Pursuant to Title 31, Section 5302 of the United States Code, which authorizes the Secretary of the Treasury to 'engage in credit instrument transactions...,' the Secretary is hereby directly authorized to incorporate Bitcoin into the strategic Bitcoin reserves by purchasing debt obligations from suitable counterparties, within the limits not exceeding $21 billion allocated from the Exchange Stabilization Fund for strategic procurement, in compliance with applicable laws. This initial acquisition plan shall be completed within 365 days from the issuance of this order.
(b) Custody and security protocols. To ensure the security of Bitcoin custody at all stages, the Secretary of the Treasury shall implement the following phased framework. Within 30 days of the issuance of this order, the Secretary shall confirm existing relationships between the U.S. government and reputable and secure custody service providers to ensure immediate and reliable storage of Bitcoin in the strategic Bitcoin reserves. The Secretary shall instruct that all Bitcoin purchased under the acquisition plan be securely transferred to such custody service providers.
At the same time, the Secretary of the Treasury shall develop and implement measures—together with the National Security Agency, Cybersecurity and Infrastructure Security Agency, and the National Institute of Standards and Technology (NIST), as well as other agencies required under the Secretary's self-custody agreement (including specialized hardware, reliable software, access control, geographical distribution, multi-signature control, and physical security measures)—designed to enhance long-term security, reduce third-party reliance, and maintain the complete sovereign control of the United States over its Bitcoin reserves as a 'digital Fort Knox.' The Secretary shall ensure that the strategic Bitcoin reserve custody agreement complies with the audit procedures of the Exchange Stabilization Fund, strict cybersecurity standards, and cryptographic evidence verification to ensure the dual integrity of the strategic Bitcoin reserve and public confidence in the United States.
Section 5: Conditions for the Sale of Strategic Bitcoin Reserves
(a) Long-term preservation principle. The strategic Bitcoin reserve shall serve as a permanent pillar of U.S. financial strength and commitment to the future digital economy, upholding the same spirit as our defense of the Fort Knox gold reserve. Bitcoin stored in the strategic Bitcoin reserve shall not be considered a short-term financial asset. Its goal is to establish the strategic Bitcoin reserve as the leading position of the United States in global Bitcoin holdings, innovation, and management—ensuring U.S. interests, rather than those of foreign competitors, and setting standards for the global digital assets strategy.
(b) Strict liquidity constraints. Sale or other forms of recapturing strategic Bitcoin reserves are only permitted in the most extreme and special national economic or security crises. Such a crisis determination must be approved by the President of the United States. Without this explicit authorization, the Secretary of the Treasury is not authorized to sell, mortgage, exchange, or otherwise dispose of any part of the strategic Bitcoin reserves.
(c) Strict approval procedures. Before any sale, the Secretary of the Treasury shall submit a detailed written determination, supported by sufficient evidence, demonstrating that the proposed sale directly addresses a particular national economic or security crisis.
(d) Transparent and controlled execution. In rare cases, if a sale is approved, it should be conducted in the most fair and strictly controlled manner to minimize market impact and maintain public confidence. Private, staggered transactions or other measures should be prioritized to ensure that even in a crisis, the nation's reputation for financial prudence and responsibility is preserved.
Section 6: Reporting and Transparency
(a) Reserve public proof. The Secretary of the Treasury shall implement a public reserve proof process utilizing cryptographic verification. These verifications should be conducted quarterly to ensure the transparency of the Bitcoin holdings of the Exchange Stabilization Fund while protecting sensitive information.
(b) Annual Report. As part of the annual report on the operation of the Exchange Stabilization Fund (as required by the Gold Reserve Act), the Secretary shall provide detailed information on the status, performance, and strategic benefits of Bitcoin within the Exchange Stabilization Fund. The report shall also summarize acquisition strategies, custody security measures, and any impacts on economic stability (considering national economic or security factors).
Section 7: Interagency Coordination
The Secretary of the Treasury shall coordinate with the Federal Reserve, Department of Defense, and other relevant federal agencies to ensure that the acquisition and management of Bitcoin within the Exchange Stabilization Fund comply with national security, economic stability, and cybersecurity standards.
Hereby certify that I have signed this on [Year] [Month] [Date], during the [Year] year of the founding of the United States and the [Year] year of independence.
