Trump is open to the idea of establishing a strategic reserve with US based coins like SOL, XRP, USDC

Key Takeaways

Donald Trump “welcomes” establishing a strategic reserve using US-based digital assets such as Solana, USD Coin, and Ripple.
The proposed policy move could include appointing crypto-friendly officials and ending banking practices that affect cryptocurrency startups.

President-elect Donald Trump is warming to the idea of establishing an “America-first strategic reserve” that would focus on US-made digital assets such as Ripple, Solana, and USD Coin, the New York Post reported Thursday, citing sources familiar with the matter.

Trump has shown interest in the concept through meetings with the founders of these projects. The idea, however, has raised concerns among insiders that it could undermine Bitcoin's market dominance, the report noted.

Despite concerns, there is hope that these developments could benefit the crypto industry as a whole.

The creation of a national Bitcoin stockpile remains one of Trump's biggest crypto promises. Driven by the expectation that the US will soon follow this goal, public companies have begun adding Bitcoin to their own reserves.

Efforts at the state level are also underway. Oklahoma representative Cody Maynard recently introduced the Strategic Bitcoin Reserve Act, which would allow the State Treasurer to invest public money in crypto assets, including bitcoin and stablecoin. This is part of the broader effort to build strategic crypto reserves in various US states, including Texas, Pennsylvania and Ohio.

Metaplanet CEO Simon Gerovich predict if Trump establishes a strategic Bitcoin reserve, he will encourage Japan and other Asian countries to follow suit.

The Trump administration plans to issue crypto-focused executive orders

The incoming administration is set to issue executive orders focused on crypto, the Washington Post reported on Monday. This could include establishing a Bitcoin reserve and ending banking practices, commonly described as “Operation Choke Point 2.0.”

However, since a future administration could easily revoke these directives, establishing a strategic Bitcoin reserve through an executive order may not lack the stability many want, New York Digital Investment Group said. (NYDIG) in a recent report. report.

Legislation such as the BITCOIN Act introduced by Senator Cynthia Lummis would provide a firmer foundation for the reserve, according to the NYDIG.

This would ensure that it remains intact regardless of changes in political leadership, but may require more time to pass due to the complexities of congressional agreement and potential delays to the agenda. statutory.