US Treasury Secretary Bessent called for halting government Bitcoin sales. He insisted that BTC within the U.S. be transferred to treasury-managed vaults. The secretary’s call aligned with Trump’s executive order to create a U.S. BTC reserve.
United States Treasury Secretary Bessent said transferring or holding Bitcoin within the country under domestic control was essential. The secretary called for the halt of government BTC sales as the government determines how to acquire more cryptocurrencies.
Treasury Secretary says it is essential to bring BTC onshore
U.S. Treasury Secretary revealed plans to acquire cryptocurrency for the U.S. strategic reserve, including Bitcoin, would be discussed at the White House crypto summit on March 7. He clarified that seized assets from civil and criminal proceedings will enter the reserve first. The secretary added they would start with Bitcoin and later include other cryptocurrencies.
Treasury Secretary Scott Bessent says, "we'll see what the way forward is for any Bitcoin acquisition," adding that it's essential to "bring $BTC onshore." pic.twitter.com/IHg6S8jzGG
— cryptothedoggy (@cryptothedoggy) March 7, 2025
According to Bitcoin Treasuries, the United States government owned 198,109 BTC worth approximately $18 billion. David Sacks, the White House AI and Crypto Czar, criticised the Biden administration for mismanaging America’s BTC stockpile. He said the previous administrations sold too early and made $366 million in ten years instead of the $17 billion it held before the sales.
Bessent said he was a big proponent of the United States taking the lead as a global crypto hub. He insisted the US bring it onshore and use their best practices and regulations to preserve the BTC in custody.
The secretary said that after all victims of financial crimes and settled court cases were paid out from the seized BTC, the rest would be redirected to the Bitcoin strategic reserve.
On Thursday, Donald Trump signed an executive order establishing a strategic Bitcoin reserve and a digital asset stockpile. The president also announced he would host major crypto industry players at the White House to discuss the future of cryptocurrencies.
The US crypto reserve is expected to influence other nations to adopt the same strategy in their jurisdictions. El Salvador has already established its Bitcoin reserve, which stands at 6,068 BTC.
Asset manager Anthony Pompliano pointed out the global race for Bitcoin began in 2024. He stated that the US should influence other nations towards adoption by establishing its BTC reserve. Gavid Bailey, CEO of Bitcoin magazine, suggested that the Chinese government has held talks on its BTC reserve since Trump won the presidential elections in 2024.
Bessent dismisses talks of a Trump put to regulate the stock market
Bessent added that investors who expected Donald Trump to use policy to stop the stock market from falling were likely to be disappointed. The secretary rubbished talks of a “Trump put” where investors suggested Trump could intervene to support the market. He clarified that the upside of Trump’s policies was that if the U.S. had good policies, then markets would eventually recover.
During his first term, Bessent said that Trump watched the stock market closely and made it his barometer to judge his economic performance. He added that the administration has looked less at stock prices recently. The secretary said that in his second administration, Trump looked more at bond yields as a measure of inflation pressures.
Bessent also dismissed the idea that Donald Trump’s hikes would spark a new wave of inflation. He highlighted that crude oil prices have tumbled since Trump assumed office. The secretary pointed out that U.S. bond yields dropped even as Europe and Japan bond yields surged. He added that American mortgage rates also declined, signalling an improved economy.
The secretary said he was not worried about inflation across the continuum. He emphasized that the essentials were controlling government spending and building a sound fiscal policy that would bring back market confidence.
Bessent defended Trump’s policies, saying that they could not be regressive if the income from the tariffs was used to ensure there was no tax on overtime, social security, and tips.
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