After establishing a national Bitcoin reserve, the U.S. government's stance on cryptocurrency assets seems to be quietly entering a more forward-looking phase. White House AI and cryptocurrency policy advisor David Sacks claimed that the United States will be interested in joining the ranks of Bit reserve purchases, and can immediately deploy this if it meets the "budget-neutral" condition.
"Budget-Neutral" Framework
The "budget-neutral" principle articulated by David Sacks is key to this matter, with its core being that any action to increase Bit holdings must not be achieved through new taxes or additional national debt. Sacks further explained that the funding for increasing positions might come from "reallocating resources from underutilized projects", meaning completing purchases by freeing up existing budget space. This could mean that actions like reducing government spending related to Doge might play an important role in this plan.
However, he emphasized that the plan's successful advancement depends on persuading key decision-makers like the Treasury Secretary or Commerce Secretary to agree to this action and to raise funds through innovative methods that do not increase new taxes or debt.
Sacks also clearly pointed out that if the relevant departments maintain a positive attitude and successfully find suitable funding sources, they have actually received preliminary authorization at the presidential level. He noted that on March 6, 2025, Trump signed an executive order that not only authorized the establishment of a national cryptocurrency reserve but also specified how confiscated Bit would be handled. Sacks added that the implied clause in this executive order "allows the government to further purchase under specific conditions", and these specific conditions are the "budget-neutral" operating mode.
"Specifically, if the Department of Commerce or Treasury can find funding sources without increasing debt, they are allowed to create these projects."
U.S. Bit Reserve Overview and Challenges
The U.S. government currently holds approximately 198,012 Bits, which, at current market prices, already exceed $21 billion in total value. These massive digital assets are primarily sourced from government seizures through criminal or civil proceedings. The two most significant amounts are related to the once-notorious online black market "Silk Road" - one being 69,370 Bits seized in November 2020, and the other 51,351 Bits in March 2022. Additionally, 94,636 Bits seized from Ilya Lichtenstein, the protagonist of the Bitfinex hacking incident in January 2022, also constitute an important part of the U.S. government's Bit reserve.
Now, Trump officials seem unsatisfied and are seeking opportunities to increase Bit holdings. The "budget-neutral" acquisition concept appears attractive under fiscal prudence, but undoubtedly contains many challenges in practical implementation.
The recent statement by White House official David Sacks has laid the groundwork for a preliminary blueprint of the U.S. government potentially expanding its Bit strategic reserve. However, the key subsequent factor is whether Trump's officials can adhere to the "budget-neutral" approach and squeeze out resources to increase holdings. The ultimate success will highly depend on the frugality and innovation of core departments like the U.S. Treasury and Commerce Department.
However, the U.S. government's open discussion about considering increasing Bit holdings under specific premises already demonstrates its growing appreciation and profound insight into the strategic value of digital assets.
