U.S. Bitcoin reserve on hold: What’s stopping Trump from starting purchases?
Former White House adviser Patrick Witt confirmed that Donald Trump still wants to buy more Bitcoin for the government reserve. However, a serious legal barrier has grown between the president’s plans and actual transactions.
For now, the reserve consists only of previously confiscated coins, and no “budget-neutral” ways to replenish it have been found.
The main obstacles to purchases:
-Direct congressional ban. Lawmakers have already added an amendment to the defense budget (NDAA) that blocks direct Bitcoin purchases on the open market.
-A new balance of power. After the election, Democrats control both chambers of Congress, making it extremely difficult to pass a separate law establishing a crypto reserve.
-Risk of repeal. Without a full-fledged law, the reserve rests only on a presidential order, which the next administration could easily revoke.
Former White House adviser Patrick Witt confirmed that Donald Trump still wants to buy more Bitcoin for the government reserve. However, a serious legal barrier has grown between the president’s plans and actual transactions.
For now, the reserve consists only of previously confiscated coins, and no “budget-neutral” ways to replenish it have been found.
The main obstacles to purchases:
-Direct congressional ban. Lawmakers have already added an amendment to the defense budget (NDAA) that blocks direct Bitcoin purchases on the open market.
-A new balance of power. After the election, Democrats control both chambers of Congress, making it extremely difficult to pass a separate law establishing a crypto reserve.
-Risk of repeal. Without a full-fledged law, the reserve rests only on a presidential order, which the next administration could easily revoke.
