On Thursday, during a Fox News interview, U.S. Treasury Secretary Scott Bessent addressed the nation’s strategic bitcoin reserve (SBR), clarifying that the government has no plans to purchase bitcoin for it.
US Treasury Secretary Dampens the Mood: Government Won’t Buy Bitcoin for Strategic Reserve
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PPI Surprise and Bessent’s Bitcoin Stance Causes Uncertainty
Over the past 24 hours, the crypto market slipped 2.91%, nearly dipping below the $4 trillion mark. Bitcoin briefly touched $117,719 before recovering to just above $118,000. The decline came on the heels of the latest U.S. Producer Price Index (PPI) report, which showed wholesale prices running hotter than anticipated, and Bessent’s remarks only added to the downbeat sentiment.
Speaking to Fox News, Bessent reiterated that the U.S. government’s bitcoin (BTC) reserve initiative does not involve acquiring more of the digital asset. “We’ve also started a Bitcoin Strategic Reserve,” Bessent said. “We’re not going to be buying that, but we are going to use confiscated assets and continue to build that up. We’re going to stop selling them.”
Bessent added:
“The bitcoin reserve at today’s price is somewhere between $15 billion to $20 billion.”
The true size of the U.S. government’s bitcoin stash is a matter of dispute. Data from Arkham Intelligence pegs the holdings at 198,022 BTC — a haul valued at more than $24 billion. But a recent inquiry to the U.S. Marshals Service by The Rage suggests Uncle Sam’s coffers might be far lighter than many had believed.
Combined with Thursday’s hotter-than-expected PPI report and Bessent’s comments, the news left much of the crypto crowd in a foul mood. Crypto portfolios are looking lighter after last night’s record-setting price highs. At press time, at 10:30 a.m. Eastern time, bitcoin is changing hands for $118,839 per coin.
