Trump's strategic Bitcoin reserve plan faces legal and jurisdictional obstacles

According to Bloomberg, the strategic Bitcoin reserve plan promoted by U.S. President Trump is facing legal and jurisdictional issues, with the core dispute being whether the U.S. Treasury has the authority to legally manage the reserve. Trump proposed the establishment of a strategic Bitcoin reserve early in his presidency, with the main funding source being Bitcoin already held by the U.S. government through criminal or civil forfeiture, along with a separate digital asset inventory.

The relevant executive order also requires the Treasury and Commerce Departments to develop a "budget-neutral" Bitcoin acquisition strategy, meaning it should not increase taxpayer costs. However, informed sources say that discussions around the reserve have now shifted to whether it should be placed under the Commerce Department rather than managed by the Treasury. Another point of contention is whether the U.S. government can hold BTC "indefinitely" given Bitcoin's price volatility. White House spokesperson Liz Huston stated that the Trump administration is still evaluating the best structure for the strategic Bitcoin reserve and the U.S. digital asset inventory to fulfill its vision of making the U.S. a global center for cryptocurrency and cutting-edge technology.