- Trump reportedly wants to make crypto a ‘national policy’.
- Market expectations for the US Strategic BTC Reserve (SBR) soared amid recent reports.
The crypto community is more hopeful about President-elect Donald Trump’s potential pro-crypto executive orders on day one. Some include the possible ‘freeze’ of crypto lawsuits and Bitcoin[BTC] reserve (SBR).
In fact, Polymarket’s odds of a US SBR rose to 44% on January 17. This followed reports that the president had a ‘national Bitcoin supply‘ and make crypto a ‘national priority.’
Furthermore, Bloomberg reported that the new administration could establish a crypto council to advance the sector’s policies and interests.
According to reports, the orders could be issued on Inauguration Day on January 20. Markets quickly reacted positively when SBR odds rose above 44% for the first time in January. However, the probability of this decreased slightly to 41%, at the time of writing.
On another prediction site, Kalshithe chances for an SBR creation this year have increased to 64%.
Other Bitcoin bulls, such as crypto investors Fred Kruegerwere also confident of a likely US SBR by next week.
That said, Polymarket odds have doubled in two weeks from a low of 22% to a recent high of 44%. Over the same period, BTC has risen from $90,000 to the $102,000 level, indicating the massive impact of SBR speculation on the asset’s price action.
Remarks from the US Senator…
In another development, pro-Bitcoin US Senator Cynthia Lummis has questioned the US government’s plans to sell 70,000 BTC from Silk Road. Part of her letter to the US Marshals Service read:
“Based on historical sales data, the service sold approximately 195,092 Bitcoin for a total of approximately $366.6 million between 2014 and 2023.
The letter went on to say:
At current market prices, that same Bitcoin would be worth more than $18.9 billion, representing a loss of more than $18.5 billion in unrealized value to U.S. taxpayers – a staggering 98% loss of potential value.”
This is part of the BTC that the new government wanted to use to establish the SBR. At the time of writing, data from Arkham revealed that 69,000 Silk Road BTC coins remained unmoved despite the recent approval for sale.
Source: Arkham
Overall, the US government still held 198,000 BTC, worth more than $20 billion, all of which could be repurposed for an SBR if not sold before the new regime resumes office.