David Sacks, the man President Trump tapped to guide crypto policy, recently spoke at Bitcoin 2025 in Las Vegas. He sat down with Cameron and Tyler Winklevoss, those Gemini guys, and laid out how the U.S. Strategic Bitcoin Reserve might grow. It’s a bit like figuring out how to get more cookies into the jar without baking new ones, isn’t it?
- The Strategic Bitcoin Reserve, established by President Trump, aims to increase its Bitcoin holdings through budget-neutral methods. This involves finding funds within existing government programs.
- The Trump administration has taken several pro-crypto steps, including pardoning Ross Ulbricht and rolling back strict regulations. They also aim to boost Bitcoin mining in the U.S.
- The administration is focused on making these changes permanent to support the growth of the crypto market. They are also working to increase energy production for Bitcoin mining.
President Trump signed an order back on March 6. This order set up the Strategic Bitcoin Reserve. It started with about 200,000 Bitcoin (that’s a lot of money, around $22 billion) already held by the government. This Bitcoin came from criminal or civil cases, money taken from bad actors, minus what needed to go back to victims. It’s a good start, but the big question is, how do you get more?
Trump also told Treasury Secretary Scott Bessent and Commerce Secretary Howard Lutnick to find ways to get more Bitcoin. The catch? It had to be “budget-neutral.” This means no extra cost to American taxpayers. So, no new taxes, no adding to the national debt. Sounds simple enough, right? But in government, simple often means a lot of head-scratching.
Sacks explained it plainly. “The executive order establishing the Strategic Bitcoin Reserve does allow the government to purchase more if it can be done in a budget-neutral way.” He said if the Commerce Department or the Treasury Department can figure out how to fund it without adding to the debt, they can create those programs. It’s a green light, if they can find the gas.
He mentioned using extra money from other government programs. Think of it like finding a forgotten twenty-dollar bill in an old coat pocket. Analysts at K33, a research firm, had some ideas too. They suggested using surpluses from the U.S. Treasury Exchange Stabilization Fund (a fund used to keep currency stable), selling special drawing rights (a type of international reserve asset issued by the IMF), or even revaluing gold certificates. It’s all about finding money that’s already there, just sitting around.
“If we can convince Howard Lutnik or Scott Bessent to buy some, and they can figure out how to fund it without a new tax or without adding to the debt, then we could potentially acquire more bitcoin,” Sacks added. It sounds like a challenge, a bit like trying to convince your friends to try that new restaurant you heard about, even if it’s a bit out of the way.
Vetle Lunde, who heads research at K33, pointed out something interesting. The 60-day deadline for the Treasury to evaluate the Strategic Bitcoin Reserve passed on May 5. But nothing has been shared publicly yet. People who trade crypto were really watching for news this week, especially with the big Bitcoin conference happening. It’s like waiting for a package that’s a few days late; you just want to know where it is.
“I can’t promise anything, but there is a pathway to doing that,” Sacks said during the chat. “The question is just, can we get either the Treasury Department or the Commerce Department to get excited about that? Because if they do and they can figure out how to fund it, they actually do have presidential authorisation ready.” The path is there, but someone needs to walk it.
Trump’s Crypto Plan: Moving Fast
Beyond the Bitcoin Reserve, Sacks talked about other pro-crypto steps the Trump administration has taken since January. He said they’ve really changed U.S. crypto policy in just the first 100 days. They pardoned Ross Ulbricht, banned CBDCs (Central Bank Digital Currencies, which are like a digital version of a country’s money, but controlled by the government), and stopped something called Operation Choke Point 2.0. They also set up that Strategic Bitcoin Reserve we talked about.
They also rolled back some strict rules, like the IRS’s DeFi broker rule and SAB 121 (a rule about how companies report crypto holdings). The Department of Justice (DOJ) also eased up on its tough enforcement. Plus, the White House even held its first Crypto Summit. It’s been a busy few months, like trying to fix a leaky faucet, a broken window, and a squeaky door all at once.
Sacks thinks the GENIUS Act stablecoin bill will pass. This bill deals with stablecoins, which are cryptocurrencies designed to hold a steady value, often by being tied to a traditional currency like the U.S. dollar. He also believes a bill about how crypto markets work is likely before August. The administration wants to make these changes stick, so future rules don’t undo all the work.
The Winklevoss twins shared a story about Operation Choke Point 2.0. They said Gemini was losing a bank account every other week in 2023. They were down to their very last one for both wires and ACH (Automated Clearing House, a way to move money electronically). “If we had lost either one of those, it would have been game over,” Cameron Winklevoss said. Imagine trying to run a business when your bank keeps shutting you down. That’s a nightmare.
The March 6 executive order also created a U.S. Digital Asset Stockpile. This holds other digital assets, not just Bitcoin, that were taken in criminal or civil cases. But the government said it won’t buy more of these assets; they’ll only add what they get from forfeitures. It’s a bit like having a collection of interesting rocks, but only adding the ones you find, not buying new ones.
Finally, Sacks said the administration is making it a priority to boost Bitcoin mining in the U.S. They want to increase energy production and make it easier to get permits for new mining facilities. The goal is to keep more of that “hash power” (the computing power used to mine Bitcoin) right here in America. Trump wants to make the U.S. the “bitcoin mining powerhouse” of the world. It’s about building things at home, plain and simple.
“We’ve been moving so fast to correct all these things in terms of the legislation that’s moving on Capitol Hill, the agencies and departments. I think by August, we might have achieved the crypto agenda in Washington,” Sacks said. It’s a bold statement, like saying you’ll finish a huge project by summer.
“We’re basically four months in, so we still have over three and a half years [and] what we can accomplish over the next few years is going to be really incredible,” Sacks concluded. He then added, “What all of you guys are going to accomplish with Bitcoin is going to be incredible and to the moon, right?” It’s a hopeful thought, a common phrase in the crypto world, suggesting big things are coming.
