President Donald Trump has announced the inclusion of several significant cryptocurrencies in the United States Strategic Reserve, sending prices soaring. The decision, revealed late on Monday, saw the prices of Bitcoin, Ethereum, XRP, Solana, and Cardano jump significantly. In a social media post on Sunday, Trump stated that he had signed an order instructing the Presidential Working Group to advance the establishment of a Crypto Strategic Reserve that includes these five cryptocurrencies.
Shortly after, he added that Bitcoin and Ethereum would also be central to this reserve.
The US executive now works for fraudsters //Trump’s heist in broad daylight https://t.co/fGBP2cMEQr käyttäen @ft
— juhana vartiainen (@filsdeproust) March 5, 2025
The announcement marks a significant endorsement of the cryptocurrency industry, reflecting Trump’s keen interest in advancing policies that support the emerging market. The rapid increase in cryptocurrency prices highlights investors’ confidence in the potential regulatory backing and broader acceptance of digital currencies.
The Bitcoin Strategic Reserve positions the U.S. as the leader in the race to dominate cyberspace. pic.twitter.com/z8lDpQIwF8
— Michael Saylor⚡️ (@saylor) March 5, 2025
Market analysts suggest that this governmental move could inject a new wave of stability and legitimacy into the cryptocurrency market, often characterized by volatility and regulatory skepticism. However, some pro-crypto lawmakers and industry allies were caught off-guard by Trump’s proposal. Private-sector supporters are raising concerns that the reserve plan cheapens their ongoing efforts to sway Capitol Hill.
The president’s decision to add three more cryptocurrencies to a future crypto reserve reflects a growing trend among investors to diversify their holdings, Zach Pandl @LowBeta_, Head of Research at Grayscale.
Read the @FortuneMagazine full article 👇https://t.co/9C9zXDMwEQ
— Grayscale (@Grayscale) March 4, 2025
Trump’s new crypto reserve announcement
Experts note that creating a reserve instead of a narrower stockpile would likely require congressional approval. Sen. Thom Tillis, R-N.C., said, “I don’t mind the concept. I just don’t know what utility it serves. And I don’t like the fact that law enforcement could be negatively impacted in terms of future flows for asset forfeitures by having to turn over government-seized crypto.”
Sens. Kirsten Gillibrand, D-N.Y., and Cynthia Lummis, R-Wyo., are actively exploring how to attach their proposed overhaul of crypto income taxation to Republicans’ party-line tax plan. Gillibrand warned that Trump’s reserve announcement is “unhelpful—deeply unhelpful” to those talks. Much of the pushback has come from within the industry, where there’s bristling at Trump’s apparent willingness to elevate certain tokens but not others and the possibility that the US could acquire enough crypto to manipulate the market.
[Bitcoin falters as optimism wanes on Trump's crypto reserve plan | Reuters] https://t.co/U6pTY2Abc4
— Norio Nakatsuji (@norionakatsuji) March 3, 2025
Details on how this new stockpile will function remain unclear
However, more information is expected to be disclosed on Friday, when Trump plans to host the first Crypto Summit at the White House. Whether establishing a new national strategic stockpile would require Congressional approval remains to be seen.
Previously a critic of cryptocurrency, as he had called Bitcoin a “scam” in a 2021 interview, Trump’s recent actions reflect a significant shift in his stance. As the adaptation of cryptocurrencies continues to unfold, the strategic incorporation of Bitcoin, Ethereum, XRP, Solana, and Cardano into national reserves might pave the way for more nations to consider similar measures, potentially revolutionizing global financial systems.
Photo by Art Rachen on Unsplash