Cryptocurrency analyst James Van Straten isn’t buying into the idea that we’ll see a Bitcoin (BTC) reserve announcement on Day 1 of Donald Trump’s presidency.
Here’s the scoop: Van Straten spoke out on Thursday, saying he doubts Trump would issue an executive order to create a Bitcoin reserve right off the bat, as some had suggested. He made it clear on social media that he doesn’t see Trump making such a move in the near future.
Why? Well, according to Van Straten, Trump—who has been vocal about his support for Bitcoin—would probably keep things quiet, quietly buying Bitcoin behind the scenes rather than announcing a big move to the public. His reasoning is simple: making such a public announcement would send Bitcoin’s price skyrocketing, making it harder for Trump to get a good deal. “No advantage announcing to the world about a BTC reserve as the price will just run away from him,” Van Straten explained.
Instead, Van Straten believes Trump’s strategy will likely involve restricting the sale of the Bitcoins currently held by the U.S. government. The government has a whopping 198,109 Bitcoins, all seized in asset forfeiture, according to Arkham Intelligence.
But here’s the thing: This is a topic that’s been on a lot of people’s minds lately, especially after Trump talked about how he planned to “do something great with crypto” during his campaign. Some even thought he might create a national Bitcoin stockpile, which sounds exciting, right?
The idea of a Bitcoin strategic reserve isn’t just talk, either. Senator Cynthia Lummis from Wyoming has already introduced the BITCOIN Act, which proposes that the U.S. Treasury Department buy 1 million Bitcoin over the next five years, without selling or auctioning any of it for at least 20 years.
So, while the idea of a big Bitcoin reserve sounds cool, Van Straten and other analysts are leaning towards the belief that the U.S. will just hold onto its seized Bitcoins and keep a low profile.
As for Bitcoin’s price, it’s holding strong at $97,181.82, up 2.46% in the last 24 hours—showing that despite the speculation, Bitcoin is still a hot commodity.
In the end, while the idea of a Bitcoin reserve may be appealing, it looks like it’s not something we’ll be hearing about from Trump anytime soon—at least not in the way some people expect.
