The White House’s newly appointed “Crypto Czar” David Sacks has addressed the recent buzz surrounding President Donald Trump’s mention of Solana (SOL), Cardano (ADA), and XRP in relation to the US Digital Asset Stockpile. In an interview with Bloomberg Technology, Sacks sought to clarify the President’s comments, stating that the market may be overreacting to Trump’s mention of the top five cryptocurrencies by market cap.
Sacks revealed that the US government is in the process of conducting an audit of its cryptocurrency holdings to determine which altcoins are currently in its possession. Once the audit is complete, all altcoins, with the exception of Bitcoin (BTC), will be transferred to the Stockpile for safekeeping. While the US is estimated to hold around 200,000 BTC and some Ethereum (ETH), the exact amounts of other altcoins remain uncertain.
Following Trump’s mention of SOL, ADA, and XRP on March 2, the US officially established the Digital Asset Stockpile on March 6 through an executive order signed by the President. This move also included the creation of a Strategic Bitcoin Reserve to manage seized Bitcoin assets.
Sacks emphasized that Scott Bessent, Secretary of the US Treasury, will oversee the management of the altcoins held in the Stockpile, with a focus on responsible stewardship. This may involve activities such as staking, rebalancing, and potential sales to ensure the best interests of US citizens are met.
However, Sacks made it clear that the Strategic Bitcoin Reserve will not be subject to the same management strategies as the Stockpile. The Reserve, which consists of seized Bitcoin, is intended for long-term preservation to maximize its value. The US government views Bitcoin as a scarce and strategic asset that should be held for the long term.
In conclusion, Sacks highlighted the difference in objectives between the Strategic Bitcoin Reserve and the Digital Asset Stockpile, emphasizing the importance of responsible stewardship and portfolio management in the latter. The US government aims to maintain a strategic and valuable cryptocurrency reserve while ensuring the long-term preservation and growth of its Bitcoin holdings.
This article was originally published on Cryptoslate and covers topics such as Bitcoin, Cardano, Ethereum, Solana, XRP, US, adoption, regulation, and legislation.