President-elect Donald Trump’s transition team is reportedly set to implement the creation of a national Strategic Bitcoin Reserve (SBR). At the heart of this development is the formation of a cryptocurrency advisory council to review US policy on digital assets, Reuters reported. Reports.
Major cryptocurrency companies are vying for seats on the board, including Ripple, Kraken, Circle, and venture capital firms such as Paradigm and Andreessen Horowitz’s cryptocurrency arm a16z. It is expected that the Council will be located within the White House National Economic Council or a separate executive body.
Bitcoin Strategic Reserve Could Become Real
“The matter is being detailed, but I expect senior executives from U.S. bitcoin and cryptocurrency companies to be represented,” said David Bailey, CEO of Bitcoin Magazine and a key adviser who arranged for Trump to speak at a bitcoin conference in Nashville in July. “People are keen to offer advice and provide input.”
The concept of a Bitcoin Strategic Reserve is gaining traction among Trump advisors and industry leaders. Dennis Porter, CEO and founder of the Satoshi Act Fund – a US non-profit organization that advocates for Bitcoin adoption – revealed that the team is considering issuing an executive order to create an SBR.
David Bailey also noted positive momentum, announcing on November 15 via X that “SBR is happening.” He emphasized the administration’s ability to start the reserve immediately: “The verdict of the experts is that the president has the authority to create the SBR without Congress and implement a fairly large acquisition program (tens of billions of dollars).” To scale, we’ll need Congress, but we can start right away at MicroStrategy scale.
Despite enthusiastic support from industry insiders, market skepticism remains. According to Polymarket, a decentralized forecasting market platform, the probability that Trump will create a strategic reserve of bitcoin is 42%, up from a low of 24% five days ago. This indicates growing faith but also highlights remaining doubts about operationalizing the reserve.
Excitement over the Trump administration has already weighed on the market, pushing Bitcoin to record highs and bringing it closer to the long-awaited $100,000 level. Establishing an SBR can stimulate market growth and investor confidence.
Who will be on the Cryptocurrency Council?
Several senior executives are positioning themselves to influence the future of US cryptocurrency policy through the advisory board. Coinbase CEO Brian Armstrong recently met with Trump, though details of their discussion have not yet been revealed. A source familiar with the matter confirmed that Coinbase is interested in being part of the board.
Jeremy Allaire, CEO of Circle, has also expressed interest. A company spokesperson noted: “We look forward to the opportunity to contribute to the dialogue on how to create a regulatory environment that fosters innovation while protecting consumers.”
Former regulatory officials also play advisory roles. Heath Tarbert, former Chairman of the Commodity Futures Trading Commission (CFTC) and current Chief Legal Officer at Circle, along with Brian Quintenz, former Republican CFTC Commissioner and Chair of Cryptocurrency Policy a16z, have consulted with Trump’s transition team on cryptocurrency policy.
The cryptocurrency industry is calling for several major regulatory changes. These include executive orders ensuring cryptocurrency companies have access to banking services, halting what it sees as excessive enforcement actions, and creating clear regulatory frameworks to encourage innovation.
“It is an absolutely wise choice to put together a board of people who understand how the industry should be regulated and how to position the industry to be a strategic asset,” said Nathan McCauley, CEO of cryptocurrency platform Anchorage Digital. McCauley urged the Trump team to reverse the current administration’s stance on cryptocurrencies, which has been characterized by aggressive enforcement actions against companies accused of violating securities and anti-money laundering laws.
Christine Smith, CEO of the Blockchain Association, believes that establishing a cryptocurrency council is a possible immediate action. “It’s something that can be done very quickly,” she said, emphasizing the urgent need the industry feels for regulatory clarity.
At press time, Bitcoin was trading at $99,245.
Featured image from CNN, chart from TradingView.com
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