On Feb. 3, President Trump introduced plans to create a US sovereign wealth fund, a nationwide funding car designed to generate and distribute belongings for Americans.
Trump signed the chief 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 can hopefully end result 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 “shall be a mix of liquid belongings, belongings that we now 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 accordance to NBC.
Bitcoin Backing?
The fund might be doubtlessly used to accumulate strategic belongings resembling a possible takeover of the Chinese language social media platform TikTok, alluded Lutnick. It may additionally leverage the US authorities’s huge buying energy to realize fairness in corporations.
“The extraordinary measurement and scale of the U.S. authorities and the enterprise it does with corporations … ought to create worth for Americans,” Lutnick stated. Different international locations with massive 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.
It is 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 fairly than shopping for extra.
In keeping with Blockchain.com, an FBI-owned tackle linked to Silk Highway 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 accordance to 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% likelihood they purchase Bitcoin.
— Wayne Vaughan (@WayneVaughan) February 3, 2025
BTC Value Recovers
Crypto markets have recovered for the reason that Trump tariffs had 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 had been additionally surging, however Ethereum remained lackluster, failing to high $3,000 regardless of an endorsement from Eric Trump.
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