On Feb. 3, President Trump introduced plans to create a US sovereign wealth fund, a nationwide funding automobile designed to generate and distribute belongings for Americans.
Trump signed the manager order at a White Home occasion directing Treasury Secretary Scott Bessent and Secretary of Commerce Howard Lutnick, who’re each pro-crypto, to “start a course of that may hopefully consequence within the creation of an American sovereign wealth fund.”
“We’re going to create loads of wealth for the fund,” Trump informed reporters earlier than including, “And I believe it’s about time that this nation had a sovereign wealth fund.”
The fund “can be a mixture of liquid belongings, belongings that now we have on this nation as we work … to convey them out for the American folks,” stated Bessent, who added that it is going to be arrange inside the subsequent 12 months, in keeping with NBC.
Bitcoin Backing?
The fund might be probably used to amass strategic belongings corresponding to a possible takeover of the Chinese language social media platform TikTok, alluded Lutnick. It might additionally leverage the US authorities’s huge buying energy to achieve fairness in firms.
“The extraordinary measurement and scale of the U.S. authorities and the enterprise it does with firms … ought to create worth for Americans,” Lutnick stated. Different nations with giant sovereign wealth funds embody Norway, China, Saudi Arabia, Australia, Iran, and Russia.
In response to the information, Wyoming Senator Cynthia Lummis hinted that the fund might be used to purchase Bitcoin.
This can be a ₿ig deal. https://t.co/ZShfQcEGwc
— Senator Cynthia Lummis (@SenLummis) February 3, 2025
Nevertheless, if the fund does embody BTC, it’s prone to come from the stash that the USA already holds slightly than shopping for extra.
Based on Blockchain.com, an FBI-owned tackle linked to Silk Street seizures nonetheless holds 69,370 BTC value round $6.8 billion at present market costs. Complete US holdings exceed 207,000 BTC value greater than $20 billion, in keeping with BiTBO.
The US will purchase Bitcoin.
Trump simply introduced the creation of a US Sovereign Wealth Fund.
Will probably be headed by Secretary of Commerce @howardlutnick and Treasury Secretary @ScottBessent528. Each like Bitcoin.
I’d say there’s a 100% chance they purchase Bitcoin.
— Wayne Vaughan (@WayneVaughan) February 3, 2025
BTC Worth Recovers
Crypto markets have recovered for the reason that Trump tariffs have been suspended on Monday. BTC reclaimed $102,000 in an intraday excessive however has since retreated again to round $99,000 on the time of writing, because the bounce might have been short-lived.
AI and real-world asset tokenization altcoins have been additionally surging, however Ethereum remained lackluster, failing to high $3,000 regardless of an endorsement from Eric Trump.
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