President Donald Trump announced on February 3, 2025, his directive to create a sovereign wealth fund in the U.S. within the next year. This announcement has sparked excitement among Bitcoin investors, with key figures like Senator Cynthia Lummis expressing enthusiasm for the potential incorporation of Bitcoin into the fund. Sovereign wealth funds are state-owned investment entities that manage resources effectively, often using revenue from natural resources to invest in diverse assets. Although the U.S. has never operated a national sovereign wealth fund, some global counterparts have invested in Bitcoin and crypto assets. However, the stance of the new American fund on cryptocurrency remains uncertain. The potential for significant investment in Bitcoin by the fund is being speculated, driven by advocacy from influential Bitcoin supporters, though it is unclear how the fund would balance traditional investments alongside crypto assets. As developments unfold, the concept of a strategic Bitcoin reserve remains an intriguing prospect for the future of U.S. monetary policy.

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