The US government has limited options to acquire new Bitcoin without increasing its budget. The most viable methods include selling existing assets or utilizing Bitcoin obtained through criminal and legal proceedings.
David Sacks, a key figure in US crypto policies known as the Crypto Czar, previously announced that President Donald Trump had signed the Strategic Bitcoin Reserve executive order. According to former Binance Research analyst Kanazawa, there are four main ways the government could continue purchasing Bitcoin without disrupting the budget.
The first and most apparent method is to continue seizing Bitcoin through legal and criminal processes. However, experts believe this alone may not be enough to meet the government’s reserve goals. Another strong option is for the US to use its gold reserves to purchase Bitcoin. Since the Federal Reserve cannot directly allocate its revenue for Bitcoin purchases, selling gold appears to be the most feasible approach. However, the potential impact of such sales on the gold market remains uncertain.
Allocating a portion of government revenue for Bitcoin acquisitions is also on the table. Tax revenues, tariffs, and other state funds could be used for this purpose. However, the Department of Commerce has stated that existing trade tariffs will not be included in the plan, reducing the feasibility of this option.
Another alternative is for the US government to engage in Bitcoin mining using idle computing resources and energy facilities. Some countries, such as Bhutan, have already launched state-backed mining operations. However, with most of Bitcoin's supply already mined, this approach is unlikely to significantly expand the reserve.
Experts suggest that the government has very few alternatives left to increase its Bitcoin holdings. This uncertainty has sparked further debate over how the US will shape its long-term crypto asset strategy.
