VanEck Endorses Strategic Bitcoin Reserve

The firstborn cryptocurrency has found another ally in the traditional financial sector after a respected global investment company affirmed its support for making Bitcoin a strategic reserve.

A global investment company has announced its support for making Bitcoin a strategic reserve, following a campaign promise by US President-elect Donald Trump to establish a national stockpile of the cryptocurrency.

VanEck, an asset manager with over $13,000 BTC in its custody, will now advocate for Trump's plan, according to a statement by the company's head of digital asset research, Matthew Sigel.

“We're going to advocate for the plan of President-elect Donald Trump to turn Bitcoin into a national strategic reserve,” Sigel said.

VanEck joins BlackRock in supporting the US Strategic Bitcoin Reserve, a concept that has been gaining traction as the role of digital assets in American economic policy is being debated.

In 2017, VanEck was among the first asset managers to file for a futures-based BTC exchange-traded fund (ETF) in the US.

Trump had announced his intention to make the US “the most successful nation in the cryptocurrency sector” during a campaign event in July, where he also revealed his plan for a “strategic national Bitcoin stockpile.”

“We are going to establish a strategic national stockpile of Bitcoin, and it will be the core of the American crypto reserve,” Trump said at the time.

The incoming President had promised cryptocurrency enthusiasts and investors to “champion the sector and push for its deregulation” throughout his administration.

Satoshi Action Fund (SAF) co-founder and CEO Dennis Porter had earlier confirmed that premier asset manager BlackRock will back the strategic Bitcoin reserve concept.

According to Porter, the Trump administration will likely push for the creation of an executive order that would establish the BTC reserve, expressing optimism over the future of the alpha crypto.

“The first step is getting a pro-Bitcoin Treasury Secretary who can put in place the strategic reserve,” Porter said.

Additionally, Wyoming Republican Senator Cynthia Lummis has introduced draft legislation that would be crucial to the concept of a strategic Bitcoin reserve.

Lummis has urged the US Congress to pass the Boost Innovation, Technology, and Competitiveness through Optimized Investment Nationwide (BITCOIN) Act.

If Lummis' bill is passed, all Bitcoin owned by the American government will be preserved and not sold. According to recent estimates, the US government holds 69,370 BTC, valued at $6.4 billion.