- Cathie Wood said the U.S. could move from seized bitcoin to direct market purchases to build a national reserve.
- She linked timing to Trump-era executive orders, budget-neutral limits, and political pressure ahead of the 2026 midterms.
- A U.S. entry would mark the first major sovereign competing for bitcoin supply, with states also advancing reserve plans.
Ark Invest founder Cathie Wood said the U.S. government may soon buy bitcoin to build a national reserve. Speaking on the “Bitcoin Brainstorm” podcast, she linked the shift to early-2025 actions by President Donald Trump, federal agencies, and a new executive order. The discussion took place in the United States and focused on timing, policy mechanics, and political incentives.
From Seized Bitcoin to a National Reserve
Currently, the U.S. bitcoin reserve consists only of seized assets from law enforcement cases. These holdings include about 210,000 bitcoin tied to cases such as Silk Road. Historically, agencies auctioned seized bitcoin, however the Trump executive order reclassified those holdings as long-term national assets.
According to Wood, early policy discussions targeted ownership of up to one million bitcoin. Notably, she said officials paused open-market purchases due to caution, not abandonment. This matters because direct buying would place the U.S. alongside institutions competing for limited supply.
The order also directed the Treasury and Commerce Departments to find budget-neutral ways to add bitcoin. So far, officials have not announced purchases. However, Wood said the language allows future market activity under existing authority.
Politics, elections, and policy structure
Wood tied potential purchases to political pressure before the 2026 midterms. According to her, Trump aims to avoid a lame-duck period and maintain legislative momentum. Crypto policy offers visible actions with organized voter interest.
She also noted growing political engagement from crypto firms during the 2024 election cycle. Groups such as Stand With Crypto funded campaigns nationwide. Meanwhile, the White House hosted crypto events, and companies including Coinbase, Tether, and Ripple supported new facilities.
Policy steps followed. Trump signed orders creating a bitcoin reserve and a broader crypto stockpile. He also formed a crypto and AI working group led by David Sacks, which later issued market oversight recommendations.
Budget Limits and Sovereign Competition
A key constraint remains budget neutrality, as stated by Sacks. According to Wood, stronger GDP growth could create fiscal room without raising deficits. She cited recent tax changes that lowered the effective corporate rate and expanded depreciation incentives.
Direct purchases would carry global weight. Notably, a U.S. entry would mark the first major sovereign competing for bitcoin supply. At the state level, Florida and Texas advanced reserve legislation, adding momentum across jurisdictions.
