Michaela
President Donald Trump has issued an executive order (EO) mandating the establishment of a sovereign wealth fund. Wyoming Senator Cynthia Lummis is speculating that this could pave the way for the U.S. government to acquire Bitcoin.
On February 3, President Trump signed an EO in the Oval Office directing Treasury Secretary Scott Bessent and Commerce Secretary Howard Lutnick to commence the process of establishing a U.S. sovereign wealth fund.
Bessent stated that the EO is set to be implemented within the next 12 months. He emphasized that the initiative aims to “monetize the asset side of the U.S. balance sheet,” stressing its potential to unlock new financial opportunities for the government.
While President Trump, Lutnick, and Bessent did not specify whether the proposed sovereign wealth fund would include investments in digital assets like Bitcoin, they did mention the potential for the government to acquire TikTok, the popular video-sharing social media platform.
Lummis Hints at BTC Purchase
Following the signing of the executive order, Senator Lummis took to X to suggest that the newly proposed sovereign wealth fund could potentially be used to acquire Bitcoin, describing the development as a “big deal.”
Additionally, popular Bitcoin Advocate Wayne Vaughan shared his thoughts on the move, re-enforcing the speculation that the U.S. government would indeed buy Bitcoin. Citing that both Lutnick and Bessent “both like Bitcoin.”
Bessent Appointed Acting Director
Before President Trump signed the EO for the sovereign wealth fund, the Consumer Financial Protection Bureau (CFPB) revealed that Bessent would assume the role of acting director. This appointment followed Bessent’s Senate confirmation as U.S. Treasury Secretary, which occurred less than a week earlier.
A notice released on February 3 confirmed Bessent’s appointment as acting director following the dismissal of Rohit Chopra by President Trump. In a letter to the president dated February 1, Chopra expressed hope that his successor would address ongoing law enforcement investigations into major technology companies and Wall Street firms.
Ahead of his Senate confirmation, Bessent aligned himself with several of the administration’s positions on cryptocurrency, notably voicing opposition to the establishment of a U.S. central bank digital currency (CBDC).
“I see no reason for the U.S. to have a central bank digital currency,” Bessent said. “In my mind, a central bank digital currency is for countries who have no other investment alternatives. […] Many of these countries are doing it out of necessity, whereas the U.S. — if you hold U.S. dollars, you can hold a variety of very secure U.S. assets.”
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Michaela has no crypto positions and does not hold any crypto assets. This article is provided for informational purposes only and should not be construed as financial advice. The Shib Magazine and The Shib Daily are the official media and publications of the Shiba Inu cryptocurrency project. Readers are encouraged to conduct their own research and consult with a qualified financial adviser before making any investment decisions.
