Official publication in the Federal Register or announcement from the U.S. Department of the Treasury

Trump Explores National Bitcoin Reserve as Crypto Hits $109,071, Coinbase CEO Cites 'Trump Effect'

Jan 26, 2025, 05:00 PM

President Donald Trump's administration has launched a task force to explore the creation of a national Bitcoin reserve, signaling a significant shift towards integrating cryptocurrencies into the U.S. financial system. This move follows Trump's campaign promise to be a 'crypto president' and comes amidst a surge in Bitcoin's value, which recently hit a record high of $109,071. The task force is also tasked with proposing new regulations on digital assets. Trump's policies are seen as a catalyst for the recent increase in cryptocurrency popularity, with the CEO of Coinbase attributing the 'Trump effect' to attracting investments in the sector. Additionally, Trump has prohibited the Federal Reserve from creating central bank digital currencies that could compete with existing cryptocurrencies. The administration's actions are part of a broader strategy to position the U.S. as a leader in the global cryptocurrency market, amidst competition from countries like China. The $TRUMP meme coin, launched by Trump, has also contributed to market volatility, with its value reaching $6 billion shortly after its introduction.