Key Insights:
- Saylor urges US to acquire 25% of Bitcoin supply by 2035.
- Trump signs executive order creating a Strategic Bitcoin Reserve.
- Government Bitcoin purchases could generate trillions for the US Treasury.
Michael Saylor has urged the U.S. government to acquire up to 25% of Bitcoin’s total supply, arguing that a Strategic Bitcoin Reserve could drive national prosperity. His proposal at the White House Crypto Summit on March 7 aligns with growing discussions on government-backed digital asset reserves.
Michael Saylor pushes for a massive Bitcoin acquisition
Saylor, founder of MicroStrategy, outlined his vision in a document titled “A Digital Assets Strategy to Dominate the 21st Century Global Economy.” He suggested that between 2025 and 2035, the U.S. should purchase Bitcoin programmatically to secure a dominant position in the digital economy.
“Acquire 5-25% of the Bitcoin network in trust for the nation through consistent, programmatic daily purchases,” he wrote. By 2035, 99% of all Bitcoin will have been issued, making strategic accumulation crucial.
His plan emphasizes a “Never sell your Bitcoin” policy, forecasting that by 2045, the reserve could generate over $10 trillion annually for the U.S. Treasury.
Trump’s executive order establishes Bitcoin reserves
Earlier on March 7, President Donald Trump signed an executive order creating a Strategic Bitcoin Reserve and a Digital Asset Stockpile. While the order did not include an immediate purchase plan, it mandated the Treasury and Commerce departments to develop “budget-neutral strategies” for acquiring more Bitcoin.
Michael Saylor proposal vastly exceeds previous government Bitcoin allocation ideas. Wyoming Senator Cynthia Lummis’ Bitcoin Act, introduced in July 2024, suggested the government hold 1 million BTC—roughly 5% of total supply. Saylor, however, envisions a reserve five times larger.
U.S. Bitcoin holdings lower than estimated—More buying ahead?
Bitcoin advocate Samson Mow challenged previous estimates of U.S. Bitcoin holdings, claiming the government may control just 112,000 BTC, not the 207,000–220,000 BTC often cited. If accurate, China would lead in state-held Bitcoin with 194,000 BTC.
“There will be buying,” Mow insisted, suggesting budget-neutral acquisition methods like issuing Bitcoin bonds or selling gold.
U.S. Treasury Secretary Scott Bessent echoed this sentiment in a March 7 interview, confirming plans to increase government Bitcoin holdings. With an official audit underway, an accurate count of U.S. reserves may soon be available.
Market impact—What happens next?
Saylor’s proposal and Trump’s executive order signal growing institutional Bitcoin adoption, but market analysts remain divided on the broader implications.
Timothy Peterson, a network economist, warned that if the Federal Reserve delays interest rate cuts in 2025, it could trigger a bear market. His model predicts a potential Bitcoin bottom of $57,000, though he doubts it will drop that low due to strong investor demand.
“Traders and opportunists hover over Bitcoin like vultures,” Peterson noted, arguing that any major dip will likely be short-lived.
On Feb. 24, the company purchased $2 billion worth of BTC, raising its total holdings to nearly 500,000 BTC. This underscores the growing belief that Bitcoin will remain a cornerstone of corporate and potentially government reserves.
Disclaimer
In this article, the views and opinions stated by the author or any people named are for informational purposes only, and they don’t establish the investment, financial, or any other advice. Trading or investing in cryptocurrency assets comes with a risk of financial loss.
