US Explores Tariffs and Gold to Bolster Bitcoin Reserves
The U.S. government is considering unconventional methods to accumulate Bitcoin reserves without direct taxpayer involvement, including leveraging tariff revenues and gold reserves, as revealed by a Trump administration official.
US May Use Tariffs And Gold To Boost Bitcoin Reserves
The U.S. government is evaluating innovative strategies to build up its national Bitcoin reserves without relying on taxpayer funding. Bo Hines, executive director of the Trump administration’s Presidential Council of Advisers for Digital Assets, revealed in an interview with Anthony Pompliano, CEO of Professional Capital Management, that the administration is exploring several ’creative’ approaches. These include using tariff revenue and revaluing existing gold certificates, which are currently recorded at $43 per ounce, to provide a budget-neutral way to acquire Bitcoin.
Bitcoin Overlooked at Trump–Bukele Summit
On April 14th, Donald Trump met with Salvadoran President Nayib Bukele at the White House to discuss immigration, security, and trade. Despite the timing seeming perfect to address Bitcoin, it was notably absent from the discussion. It remains unclear whether this was a deliberate choice or simply a timing issue. The meeting focused on immigration, security, and trade, topics on which the United States and El Salvador maintain close ties. Trump proposed sending American criminals to Salvadoran prisons, aiming to ease the US prison system while strengthening cooperation between the two countries.
Bitcoin Climbs Back Amid Market Fear
Bitcoin (BTC) has begun its climb back to previous highs despite lingering market fear. The tariff situation, especially with China, remains unresolved, causing uncertainty in both traditional and crypto markets. The 10-year yield and the Trump administration’s need to roll over $7 trillion in debt this year also contribute to the market’s anxiety. However, Bitcoin has reached an oversold condition and could be heading back to its highs.
Bitcoin Price Soars Amid Trade News: What’s Driving the Cryptocurrency Surge?
Bitcoin’s current market sentiment has turned more positive after a strong price rebound. The cryptocurrency surged from $75,000 to over $85,500 within a few days, following a 90-day pause on tariffs that calmed global market fears and allowed Bitcoin to recover. According to market platform Santiment, traders are feeling more optimistic, supported by blockchain data. Big investors like Michael Saylor’s Strategy continue to buy Bitcoin in large quantities, indicating long-term confidence. Fewer Bitcoin are being kept on exchanges, suggesting investors prefer holding over selling.
Bitcoin ETFs Lose Over $800M in April
Bitcoin ETFs experienced significant outflows in April, with institutions sticking with bonds amid tariff volatility. Despite calls from crypto advocates to ’sell bonds, buy bitcoin’ due to perceived fragility in the dollar-denominated monetary system, institutions have not bought into this narrative. As of Monday, the 11 U.S.-listed spot Bitcoin ETFs were on track to register the second-highest cumulative monthly outflow of over $800 million, according to data source SoSoValue. This follows record outflows of $3.56 billion in February and $767 million in March. In contrast, the three-month Treasury bills auctioned Monday drew strong demand from institutions.
