Trump plans to buy more Bitcoin, Democratic lawmakers pressure Treasury Department: not authorized by Congress

This week, a White House official expressed at a meeting with industry leaders in the encryption sector that the Trump administration hopes to obtain as much Bitcoin as possible and plans to promote legislation to establish a 'Strategic BTC Reserve.' The remarks quickly sparked follow-up in the political arena, with Democratic lawmakers strongly opposing it and questioning whether Trump's actions may involve conflicts of interest.

White House officials: the United States should accumulate BTC indefinitely

This Tuesday, at a closed-door roundtable meeting held at the White House by the Bitcoin Policy Institute (Bitcoin Policy Institute), Bo Hines, Executive Director of the President's Digital Assets Task Force, clearly stated to participants that the White House expects to accumulate Bitcoin as much as possible.

When asked how much BTC the government specifically hopes to hold, Hines humorously replied, "It's like asking someone how many dollars they hope to own."

Currently, the US government has seized approximately 200,000 BTC through criminal and civil forfeiture. The White House emphasizes that any additional acquisitions will be conducted in a 'budget-neutral' manner and will not increase the tax burden on taxpayers.

(The United States is moving towards becoming a superpower in Bitcoin! MicroStrategy's Saylor discusses strategic BTC reserves that can create hundreds of billions of dollars in value to address national debt)

Bitcoin bill gets White House support

During the roundtable meeting, participants asked whether the White House supports the reintroduction of the "BTC Act (Bitcoin Act)" by Senator Cynthia Lummis. The bill requires the US government to purchase up to 1 million BTC (approximately $80 billion) and enshrine a "strategic BTC reserve" into law.

On the spot, Heins expressed to Rumis that the White House supports including the strategic BTC reserves in the bill and will press Congress to ensure smooth passage.

(encryptionfriendly Senator Lummis reintroduces BTC bill: urges Fed and Treasury to buy over a million BTC)

Democratic lawmakers demand the Treasury Department to block Trump's plan

However, Trump's BTC reserve plan faces strong opposition from the Democratic Party. Gerald Connolly, Chairman of the House Committee on Oversight and Government Reform, a Democratic member, wrote to the US Treasury Department, urging to halt the related plans for strategic encryption currency reserves.

Connolly criticized the Trump administration for pushing the policy without congressional approval:

Establishing a strategic encryption currency reserve will come at the expense of American taxpayers' interests and allow the president, his cronies, and allies to profit from it.

Trump's executive order causes chaos

Last week, Trump signed an executive order announcing the establishment of the 'Strategic Bitcoin Reserve (' and the 'U.S. Digital Asset Stockpile ).' However, the concepts of 'reserve' and 'stockpile' are used interchangeably, leading to market confusion.

According to the order, the reserves will be backed by BTC confiscated by the US Department of the Treasury, while the inventory will include other confiscated digital assets that may be converted to BTC.

Previously, Trump had posted on the Truth Social platform that the reserve would include SOL, XRP, and ADA, but later clarified that BTC would be the main asset.

Connolly further pointed out that Trump has serious conflicts of interest with some encryption currency projects, including the World Liberty Financial project he supports and the TRUMP and MELANIA meme coins he launched in his own name:

The committee requested the Treasury Department to provide a detailed report on how the Trump administration handles potential conflicts of interest by March 27, and to propose relevant protective measures.

Can the BTC reserve policy be implemented?

Currently, the BTC reserve plan of the Trump administration still faces many challenges. Even though the White House emphasizes that it will be implemented in a 'budget-neutral' manner, the 'BTC Act' requires the Federal Reserve to adjust the valuation of gold certificates to generate $80 billion in purchase funds, the feasibility of this approach remains controversial. At the same time, strong opposition and regulatory scrutiny from the Democratic Party may further impede the implementation of the plan.

(How does the US government accumulate BTC at 'zero cost'? Analysis of 10 'budget-neutral' strategies)

Amidst multiple factors, it remains to be seen whether Trump's Bitcoin policy can be smoothly implemented.

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