Full text of the “U.S. Strategic Bitcoin Reserve” executive order: Manage BTC as a permanent national asset

Compiled by: BitpushNews

On December 17, 2024, the Bitcoin Policy Institute drafted an executive order proposing the establishment of a strategic Bitcoin reserve under the Trump administration’s U.S. Treasury Department’s Exchange Stabilization Fund (ESF), which would require It will not take effect until Trump takes office.

BitTorrent: The Bitcoin Policy Institute is a nonpartisan, nonprofit organization dedicated to studying the policy and social implications of Bitcoin and emerging currency networks.

The following is the full text of the executive order:

Pursuant to the authority vested in me by the Constitution and laws of the United States, including 31 United States Code Section 5302, I hereby order as follows:

Program 1

As global finance increasingly integrates digital assets and new economic tools, the United States must adjust its financial strategy to maintain stability and leadership in the global economy. Bitcoin is a decentralized, limited store-of-value asset, similar to digital gold, with unique properties that enhance the resiliency of the U.S. dollar and support U.S. economic interests.

This Executive Order designates Bitcoin as an asset suitable for strategic acquisition within the Treasury Department’s Exchange Stabilization Fund (ESF), establishing a strategic Bitcoin reserve and serving as a permanent national asset for the benefit of all Americans.

Section 2 Policy

U.S. policy is:

1. Establish a strategic Bitcoin reserve to grow our economy and solidify America’s future financial dominance;

2. Designate Bitcoin as a strategic asset held by the U.S. government, expand the diversity of assets held by ESF to ensure national economic security and competitive advantage in the 21st century, and promote industry development by attracting capital, talent, and voice;

3. Become a global leader in the digital asset industry and build and expand businesses in our great country.

Section 3 Establishes the SBR and designates Bitcoin as a strategic

reserve asset

(a) Establish a strategic Bitcoin reserve

The Strategic Bitcoin Reserve (SBR) is hereby established to be administered by the Secretary of the Treasury for the purpose of enhancing the diversity of United States reserve assets. To increase confidence in its mission, the SBR will be subject to regular audits, rigorous safety standards and comprehensive reporting measures to ensure long-term accountability and safety.

(b) Consolidate government Bitcoin holdings

No Bitcoin under the control of any federal agency, including the U.S. Marshals Service, may be sold, exchanged, auctioned, or otherwise pledged for a period of seven days after the date of this order, and after legal title to such Bitcoin has been obtained, including Upon a final, non-appealable judgment in a criminal or civil forfeiture proceeding in favor of the federal agency), the transfer is transferred to the SBR by the head of the federal agency.

(c) Designated reserve assets

Bitcoin is hereby designated as a strategic reserve asset suitable for purchase and holding within the ESF. Within 60 days of the date of this order, the Secretary of the Treasury is hereby directed to implement a Bitcoin Acquisition Program to acquire and manage Bitcoin within the ESF. The goal of the SBR is to position the United States as the undisputed world leader in Bitcoin ownership, innovation, and management, ensuring that U.S. interests, not those of foreign competitors, set the standard for global digital asset strategy.

Section 4 Acquisition and Escrow Agreement

(a) Procurement plan

Pursuant to 31 USC 4 5302 authorizing the Secretary of the Treasury to "deal with... credit facilities," the Secretary of the Treasury hereby directs that not less than $521 billion shall be appropriated from the ESF for the strategic procurement of Bitcoin in a manner consistent with its obligations under the law, To incorporate the SBR, the debt is purchased from a suitable counterparty and repaid in Bitcoin. The Treasury Secretary should work with reputable market participants under agreements that maximize value and reduce risk. The initial acquisition plan shall be completed within 365 days of the date of this order.

(b) Escrow and Security Agreement

To protect the SBR’s Bitcoin holdings at all stages, the Minister of Finance shall implement the following phased custody framework. Within 30 days of the date of this order, the Secretary shall confirm that the United States Government's existing relationships with reputable and secure custody service providers are sufficient to ensure the provision of immediate, trusted storage solutions for Bitcoin within the SBR. The Minister should direct that all Bitcoin purchases under the Acquisition Program be securely transferred to such custody service providers.

At the same time, the Secretary shall coordinate the development and implementation of self-hosting agreements (including dedicated hardware, guaranteed software, access controls, geo-distribution, multi-signature controls, and physical security measures) designed to enhance long-term security, reduce reliance on third parties, and maintain full sovereign control of the U.S. Bitcoin Reserve as a “Digital Fort Knox.” . The Secretary should ensure that the SBR escrow agreement is consistent with ESF audit procedures, rigorous cybersecurity standards, and verification of proof of cryptographic reserves to safeguard the integrity of the SBR and the confidence of the American public.

Section 5 Conditions of Sale of Strategic Bitcoin Reserves

(a) Long-term preservation principle

The SBR should serve as a permanent pillar of America’s financial strength and commitment to the future of the digital economy, along with our nation’s enduring ethos of protecting the Northsburg Gold Reserve. Bitcoin held in the SBR should not be viewed as a short-term financial instrument or a rainy day fund for everyday emergencies, but rather as a generational asset that will support U.S. prosperity and security for decades to come. This is US policy. The government shall hold (HODL) all Bitcoins acquired in the SBR for at least 25 years from the date of this order.

(b) Strict restrictions on liquidation

The sale or other divestment of SBR will only be permitted under the most severe and exceptional circumstances, which clearly outweigh ordinary financial fluctuations or geopolitical uncertainty.

(c) Strict approval process

Before proceeding with any sale, the Secretary of the Treasury shall submit a detailed written determination accompanied by substantial evidence that the proposed liquidation is directly related to an exceptional national economic or security crisis. The decision must be approved by the President of the United States. The Secretary of the Treasury does not have the authority to sell, mortgage, exchange or otherwise dispose of any portion of the SBR without express authorization.

(d) Transparent and controlled execution

In the unlikely event that a sale is approved, it should be done through the most sensible and tightly controlled methods to minimize market impact and maintain public confidence. Priority should be given to private, staged transactions or other measured approaches that ensure that the country's reputation for financial prudence and responsibility remains intact even in a crisis.

Section 6 Reporting and Transparency

(a) Public Reserve Certificate

The Secretary of the Treasury should implement a public reserve certification process using cryptographic certifications. These proofs should be provided on a quarterly basis to ensure transparency of ESF’s Bitcoin holdings while protecting sensitive security information.

(b) Annual report

As part of the annual report on the operations of the ESF required by the Gold Reserve Act, the Secretary of the Treasury shall provide detailed information on the status, performance and strategic advantages of Bitcoin within the ESF. The report should also summarize the acquisition strategy, custody security measures, and impact on economic stability, subject to consideration of national economic security.

Section 7 Interagency Coordination

The Secretary of the Treasury shall coordinate with the Federal Reserve, Department of Defense, and other relevant federal agencies to ensure that the acquisition and management of Bitcoin within the ESF is consistent with U.S. national security, economic stability, and cybersecurity standards.