Trump’s Bitcoin reserve order reshapes institutional crypto investment
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President Donald Trump’s executive order establishing a US Strategic Bitcoin Reserve and a National Digital Asset Stockpile is expected to be a catalyst for wider Bitcoin adoption, according to investment analysts and crypto industry leaders. On March 6, Trump acknowledged the need to “harness” the power of digital assets while signing the executive order for crypto assets, which states: “Because there is a fixed supply of BTC, there is a strategic advantage to being among the first nations to create a strategic Bitcoin reserve.” Ryan Rasmussen, the head of research at Bitwise, anticipates a cascading effect where other countries and private investors will invest in Bitcoin (BTC) with renewed confidence. “The end game was never ‘the US government buys all of the world’s Bitcoin,’” he said. Source: Ryan Rasmussen Large institutional investors, such as wealth managers, financial institutions and pension schemes, now have “no excuse” for not increasing exposure to Bitcoin and other crypto assets endorsed by the Trump administration. With the sell pressure reduced, the probability of the US government and individual states procuring Bitcoin has increased, Rasmussen said, adding: “Probability the government outlaws Bitcoin is definitively zero.” Andrew O’Neill, digital assets managing director at S&P Global Ratings, noted that the Bitcoin reservwouldll only include BTC already owned by the US government, specifically assets forfeited through criminal or civil procedures. The presidentail order to hold Bitcoin “is mainly symbolic” for Bitcoin to be formally recognized as a reserve asset, O’Neill said. It also created a clear distinction between Bitcoin and other crypto assets: “The order does contemplate the possibility of acquiring additional Bitcoin for the reserve, provided it can be done in a budget-neutral manner.” Related: Donald Trump signs executive order for Strategic Bitcoin Reserve Speaking to Cointelegraph, Ryan Lee, chief analyst at Bitget Research, said he anticipated Trump…
Filed under: News - @ March 8, 2025 12:19 am