2025-02-05 18:44:29 by ZyCrypto

Advertisement &nbsp &nbsp U.S. President Donald Trump signed an executive order Monday directing the Treasury and Commerce Departments to create a sovereign wealth fund — and industry proponents are already suggesting that the action could lead to the government buying the world’s largest and oldest cryptocurrency. Trump’s Executive Order For Sovereign Fund In a Feb. 3 press event in the Oval Office, President Trump signed an executive order directing Treasury Secretary Scott Bessent and Secretary of Commerce Howard Lutnick to kick off a process that will “hopefully result in the creation of an American sovereign wealth fund.” Appearing alongside Trump, Bessent said the sovereign fund could be created “within the next 12 months” and “monetize the asset side of the US balance sheet.” While Bitcoin was not mentioned at the signing, a sovereign wealth fund could signal that the United States is taking significant steps toward investing directly in the premier crypto. Senator Cynthia Lummis, an outspoken Bitcoin supporter, referenced Bitcoin when commenting on the EO news. “This is a ₿ig deal,” she said in an X post, noticeably using the Bitcoin “₿” symbol and sending crypto enthusiasts into a frenzy. Advertisement &nbsp Bitcoin champion Wayne Vaughan, who has previously urged the United States government to establish a Bitcoin-only national reserve, noted that Bessent and Lutnick “both like Bitcoin” and there’s “a 100% probability” they buy BTC. It’s worth mentioning that some of the world’s top government wealth funds have considerable exposure to Bitcoin. Norway’s sovereign wealth fund, the largest in the world, indirectly holds 3,821 BTC, worth roughly $376 million worth of Bitcoin. Trump’s Crypto Embrace  The new Trump Administration is already off to a running start when it comes to crypto.  On Jan. 23, the president signed his first crypto-related executive order, formally launching a Presidential Working Group on Digital Asset Markets and laying the foundation for exploring some of his campaign promises, including potentially establishing a strategic national Bitcoin reserve. This EO also blocks federal agencies from creating and issuing central bank digital currencies. Moreover, the Trump Securities and Exchange Commission (SEC) has established a new crypto task force led by pro-crypto commissioner Hester Peirce. Much to the delight of crypto enthusiasts, the new-look SEC also rescinded its highly controversial SAB 121 rule, which discouraged American banks from holding digital assets. Trump has previously said that he plans to turn the U.S. into the “crypto capital of the planet.”