The political world is now paying attention to Bitcoin (BTC) again. The current situation does not involve price charts and halving cycles but deals with power and policy and restraint.

US Treasury Secretary Scott Bessent told Congress that the United States will keep Bitcoin seized through asset forfeiture. The government will not provide support to BTC during market crashes. The government will not require banks to acquire additional BTC to support market values.

California Congressman Brad Sherman, a long-time critic of BTC, questioned whether the Treasury or financial regulators could “bail out” BTC. Bessent’s answer was clear, he does not have the authority to do that. He also refused to approve a plan that would need banks to purchase BTC and politically themed meme coins through updates to banking reserve regulations.

The value of BTC that the US government currently possesses has increased significantly since its initial acquisition. The government has obtained approximately $500 million in seized BTC which has increased in value to over $15 billion during its time in custody. The government has acquired a vast BTC reserve which makes it one of the largest BTC holders in the world without using taxpayer funds.

Also Read: Binance Adds 1,315 Bitcoin to SAFU Fund in a $100M Move

Bitcoin and US Strategic Reserve Policy

The US government accepted Bitcoin as part of its official reserve system during March 2025 after President Donald Trump established a national BTC reserve through his executive order. The main objective of this initiative was to demonstrate that BTC functions as a digital asset which will maintain its relevance for extended periods of time.

The order established specific rules which restricted all operations. The US government can only obtain additional BTC through two methods which involve either asset forfeiture or budget-neutral strategies. The government cannot use public funds to conduct direct BTC purchases from the market.

The US government could use budget-neutral strategies to convert its current reserve assets into BTC through petroleum stockpiles and precious metal reserves. The federal budget does not incur new costs through this method yet it restricts the US government’s ability to acquire BTC at high rates.

Some people in the BTC community saw the action as a positive development. The critics of the plan said it did not meet their expectations for ambitiousness.

Bitcoin Demand, Nation-States, and Market Impact

Bitcoin advocates argue that government buying could boost demand and legitimize BTC as a strategic asset. Samson Mow and others believe US accumulation will compel other countries to construct their own Bitcoin reserves which will initiate a worldwide competition.

The existing policy demonstrates a cautious approach. The US government will maintain its BTC holdings. The government will not provide financial support to BTC. The government will not conduct aggressive BTC purchasing activities.

This stance reinforces Bitcoin’s core identity as a market-driven decentralized asset which maintains its value without government financial assistance.

Bitcoin exists in government storage facilities. The digital currency will continue to exist in public trading markets instead of being protected by political security measures.

Also Read: Bitcoin’s Rebound Masks Bearish Signals: Is Deeper Correction Ahead in 2026?