Trump Orders Creation of US Sovereign Wealth Fund: Bitcoin Acquisition on the Horizon, Says Senator

Highlights:

• Trump signed an executive order directing the Treasury and Commerce Departments to create a sovereign wealth fund.
• White House Press Secretary confirmed the fund will play a key role in national financial strategy.
• Experts speculate Bitcoin and Ethereum could be included in the new sovereign wealth fund.

President Donald Trump issued an executive order on Feb. 3, directing the Treasury and Commerce Departments to establish a sovereign wealth fund within the next year. The announcement has ignited debates over the possibility of including Bitcoin and Ethereum among the fund’s assets.

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White House Press Secretary Karoline Leavitt confirmed the decision, emphasizing that the fund will be pivotal in national financial strategy. Such funds usually depend on a country’s budget surplus for investments, but the U.S. operates with a deficit. Additionally, its establishment would likely need Congressional approval. This announcement coincides with global market uncertainty sparked by trade talks between the U.S., Mexico, and Canada.

Trump Optimistic About Sovereign Wealth Fund’s Potential and TikTok Acquisition

Although the executive order provides limited details on the fund’s operation or funding, Trump voiced optimism regarding its potential. “We’re going to create a lot of wealth for the fund,” Trump told reporters, as per a Reuters report, noting that it’s “about time that this country had a sovereign wealth fund.” Meanwhile, he highlighted the possibility of using the fund to acquire TikTok.

Trump said:

 “We’re going to be doing something, perhaps with TikTok, and perhaps not,” he said. “If we make the right deal, we’ll do it. Otherwise, we won’t… we might put that in the sovereign wealth fund.”

Treasury Secretary Scott Bessent confirmed the fund’s operation within the next 12 months. He noted that the government plans to leverage the asset side of the U.S. balance sheet for the benefit of Americans.

Bitcoin Could Be Key Asset in U.S. Sovereign Wealth Fund, Experts Say

Wyoming Senator Cynthia Lummis took to X after the executive order signing, suggesting that the sovereign wealth fund could potentially be used to acquire Bitcoin.

This is a ₿ig deal. https://t.co/ZShfQcEGwc

— Senator Cynthia Lummis (@SenLummis) February 3, 2025

Bitcoin supporter Wayne Vaughan, who has previously urged the U.S. government to establish a strategic Bitcoin reserve, mentioned that both Treasury Secretary Scott Bessent and Secretary of Commerce Howard Lutnick “like Bitcoin” and could structure the wealth fund to invest in cryptocurrencies.

At the same time, Juan Leon, Bitwise’s senior investment strategist, remarked on the potential inclusion of Bitcoin in the fund. He suggested that while the government might integrate Bitcoin into the sovereign wealth fund, it could also continue accumulating additional BTC for a distinct strategic reserve.

First an EO to determine a strategic bitcoin reserve, now a sovereign wealth fund. Looks to me like they could fold the former into the latter. Better yet, include accumulate bitcoin in the sovereign wealth fund while holding a separate strategic reserve. https://t.co/iRITQ3Wxdb

— Juan Leon (@singularity7x) February 3, 2025

Cryptocurrency Market Thrives Amid Stock Decline and Tariff Delay Agreement

Financial markets have responded to recent events, with global stocks falling while the cryptocurrency sector holds steady. Bitcoin’s surge past $98,000 and Ethereum’s consistent growth reflect rising investor confidence in digital assets. At the same time, the U.S., Mexico, and Canada have agreed to postpone new tariffs on goods for a month, helping restore optimism in the markets.

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