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Ryan Rasmussen, head of research at Bitwise Asset Management, believes that a strategic Bitcoin reserve could be a fundamental move in the accelerated global adoption of the digital asset. It will increase Bitcoin’s legitimacy and remove fears of government retaliation.
Trump, on March 6, signed an order to put into motion the formation of a Bitcoin reserve consisting of assets forfeited in civil and criminal cases.
This alone would amount to around 200,000 $BTC currently valued at around $17.9B. Not a single cent of taxpayers money would be expended for this purpose.
The U.S. just established a Strategic Bitcoin Reserve calling it a “digital Fort Knox for digital gold.” – Ryan Rasmussen
Rasmussen believes that this could lead to a global race of accumulating Bitcoin and similar digital assets. If the US accumulates Bitcoin, other countries cannot really afford to be at ‘zero.’
Simply put, this reserve will pressurize other nations and can lead to a global domino effect. Countries like El Salvador and Abu Dhabi have already been buying $BTC left, right, and center.
Here’s a table showing current $BTC holdings of various nations:
| Countries | $BTC Held | Value |
| United States | 198,109 | $19,756M |
| China | 190,000 | $18,947M |
| United Kingdom | 61,245 | $6,107M |
| Ukraine | 46,351 | $4,622M |
| Bhutan | 11,791 | $1,175M |
Effects of a Bitcoin Reserve
Besides a global race, a government-recognized Bitcoin reserve will leave wealth managers in an inexcusable state.
So far, fund houses, financial institutions, and other institutional wealth managers have stayed away from these digital assets due to regulatory challenges.
However, now that the US government has emerged as a strong brand ambassador, it will only encourage large institutional investing in contemporary digital assets.
The reserve also removes market fears of unstable Bitcoin prices due to government regulations. Rasmussen believes that the US will go on accumulating Bitcoin over the years, which…