Policy Proposal for Trump’s Bitcoin Stockpile Leaks

The cryptocurrency industry is lobbying President-Elect Donald Trump and incoming administration officials to buy billions of dollars worth of bitcoin for a national crypto stockpile, according to reporting and policy proposals obtained by The New York Times.

The proposals, drafted by the Bitcoin Policy Institute for Trump officials, say such a stockpile could shield the country from economic volatility and drive investment in renewable energy. But the point they emphasize most is that if the U.S. buys big into bitcoin it will be able to “hold the line” of the Western-led global order and counter the economic might and geopolitical influence of China.

“Bitcoin can enhance the global reach of the dollar network, particularly in emerging markets, where the long arm of China’s digital authoritarianism seeks to gain traction,” according to a BPI report titled “A ‘Global Economic Reordering’ US-China Competition and Bitcoin as Tool of US Statecraft,” which is addressed specifically to Scott Bessent, Trump’s pick for Treasury Secretary.

After a lengthy rundown of all the ways the U.S. is falling behind China, the report suggests creating a Strategic Bitcoin Reserve of 1 million coins and lays out a series of projections for how the U.S. could use the fund to wield political influence if the value of the currency rose from its current rate of just over $100,000 per bitcoin to between $500,000 and $1.5 million per coin.

A second BPI policy brief also discusses how a massive investment in bitcoin could counteract China but doesn’t limit the list of adversaries, saying the U.S. needs to cement its crypto leadership and global influence “before autocrats and entrepots in the Middle East and Asia seize the initiative.”

BPI claims its proposals are not motivated by a desire to enrich existing bitcoin holders.

“The government’s strategic adoption of bitcoin is not about rewarding private holders,” the group wrote in one report. “It is about national interests: safeguarding US financial leadership, ensuring economic resilience, and countering adversaries’ moves. The benefits to bitcoin holders are secondary to the broader objectives of securing America’s place in the global financial system.”

The Times reported that the BPI proposals calling for a strategic stockpile have been paired with personal lobbying efforts by crypto executives and even Senator Cynthia Lummis (R-WY).

Trump floated the idea of a bitcoin stockpile while on the campaign trail and has promised to make the U.S. a “bitcoin superpower.” He’s also nominated cryptocurrency backers to top government posts, including Paul Atkins, his pick for chair of the Securities and Exchange Commission.

Last week, the Department of Justice received clearance to sell off $6.5 billion worth of bitcoin it had seized from criminals.