|

Why Is Trump Silent On The Bitcoin Reserve? BPI Director Explains

⚡

The Bitcoin Policy Institute’s government director, Matthew Pines, says the Trump administration’s silence on a Strategic Bitcoin Reserve (SBR) is calculated, not complacent. In a brand new interview with Natalie Brunell, he argues Washington is intentionally learning the way to graft Bitcoin—“digital gold”—onto the greenback system whereas geopolitical and monetary circumstances ripen. “Chekhov’s gun has been placed on the desk and we’re in Act One,” he mentioned, implying the coverage will stay quiet till occasions power a choice.

Pines frames the goal bluntly: counter China’s gold accumulation by elevating Bitcoin contained in the US reserve combine. “A intelligent counter transfer could be pivoting to digital gold whereas China anchors on legacy gold,” he mentioned, noting Bitcoin is roughly “10 % of gold’s market cap.” He believes a 10x–20x path to parity inside about 5 years is believable if coverage catalyzes adoption.

Why The Quiet On Bitcoin?

Interagency alignment has not but crystallized. Pines says the Treasury, the White House, the Pentagon, the intelligence group, and key Hill committees should agree earlier than an SBR can transfer. Until then, the precedence is a market-structure package CLARITY, which he nonetheless sees as “extra possible than not” to go, although timing has slid into winter. He desires the Blockchain Regulatory Certainty Act folded in to guard open-source builders from money-transmitter guidelines. “If market construction will get handed, then extra political consideration will be dropped at bear on the Strategic Bitcoin Reserve,” he mentioned.

On acquisition mechanics, Pines factors to a “budget-neutral” route by way of the Exchange Stabilization Fund—created by the Gold Reserve Act—as legally believable however depending on Treasury issuing supportive opinions. “You should construction the transaction in the best strategy to purchase Bitcoin,” he mentioned. For now, officers are in “examine” mode slightly than execution.

Stablecoins are the bridge on this technique, not the vacation spot. Pines describes their rise as a market phenomenon later harnessed by policymakers: with issuer reserves held in short-term Treasuries, stablecoins grow to be a structural purchaser of US debt whereas deepening world greenback utilization. The sector is just too small in the present day to shoulder that function, he mentioned, however might scale into the trillions underneath an on-shore regime—shopping for time to modernize the reserve combine with Bitcoin.

Personnel indicators level to a national-security lens. Pines highlights Patrick Witt’s transfer to guide the President’s Working Group on Digital Assets after serving on the Pentagon’s Office of Strategic Capital, which has authority to deploy giant sums into essential applied sciences. He expects much less public signaling and extra behind-the-scenes planning: “I’m not anticipating large acquisitions… imminently. But the Overton window has now dramatically shifted.”

Notably, hypothesis round US intent continues. In an October 8 put up on X, CleanSpark’s Matthew Schultz mentioned he mentioned the Market Structure invoice and the SBR with senior officers.

Via X, he revealed, “Just completed a small dinner with Secretary Bessent and Chairman Scott. We talked concerning the Market Structure invoice. We talked concerning the financial system. We talked concerning the 11 finalists for the Chair of the Fed, and we talked concerning the Strategic Bitcoin Reserve. The US holds about $17B of Bitcoin and ‘is not going to promote’ and plans to proceed to build up. […] no different ‘crypto’ or AI of us have been right here.”

Meanwhile, US Senator Lummis confirmed the continued effort for a SBR earlier this week. “Legislating is a slog and we proceed to work towards passage. But, because of President Trump, the acquisition of funds for an SBR can begin anytime,” Lummis posted on X.

At press time, BTC traded at $122,550.

Similar Posts