The White House has announced that it will soon release new details regarding the United States Strategic Bitcoin Reserve (SBR). A senior official disclosed that the administration has completed key legal steps for establishing the reserve, marking a major milestone after groundwork that began last year.
Final stage reached for strategic reserve
On March 6, 2025, President Donald Trump signed an executive order formally creating the Strategic Bitcoin Reserve. Since then, multiple federal agencies have worked together to define new standards for the safe custody and reporting of Bitcoin assets. Patrick Witt, the administration’s lead advisor, emphasized that the infrastructure has been designed not only with traditional assets like gold in mind, but also with a focus on digital assets. Witt’s deputy, Harry John, led the interagency review and ensured all domestic legal opinions were incorporated.
Currently, the SBR holds approximately 328,372 BTC, representing about 1.6% of Bitcoin’s total supply. The majority of these holdings were seized by law enforcement or confiscated through asset forfeiture. They include Bitcoin from the Silk Road investigation and assets recovered from the 2022 Bitfinex hack. Under Trump’s executive order, the US Treasury is strictly prohibited from selling these Bitcoins.
Patrick Witt revealed at the Bitcoin 2026 conference in Las Vegas that plans were underway to announce the developments within weeks. In a recent interview, he reiterated that the timeline remains on track, with private key security and custody processes fully implemented.
Security breaches and further regulation
High‐profile cryptocurrency security breaches in the US played a significant role in driving efforts to establish the Strategic Bitcoin Reserve. Patrick Witt, Director of the Presidential Council for Digital Asset Advisors, cited a recent incident involving the US Marshals Service as an example. In this case, contractor John Daghita was accused of embezzling $46 million in crypto at the end of 2025, with the FBI tracing and apprehending the suspect in early 2026.
Similarly, in October 2024, another theft saw $24 million in digital assets illicitly taken. Witt highlighted these incidents as clear examples of why the establishment of a secure, supervised Bitcoin reserve is vital, stressing the need for a controlled and independent crypto custody and oversight mechanism.
Recent incidents involving crypto asset custody show precisely why the President’s creation of the Strategic Bitcoin Reserve was indispensable, Patrick Witt pointed out.
Legislative process and new proposals
Members of Congress have proposed two separate bills to strengthen the legal foundation of the SBR. In a rarely seen dual-track legislative approach, Representative Nick Begich reintroduced his earlier BITCOIN Act under the new name American Reserves Modernization Act (ARMA). This legislation would authorize the Treasury to acquire up to 200,000 BTC per year for five years, mandating that these holdings be retained for two decades.
Senator Cynthia Lummis stated that it is crucial for the proposal to be brought to a floor vote before Congress adjourns for summer recess. Lummis warns that the legislative window is narrowing due to the approaching election season. If enacted, the law would enable the Treasury to start buying Bitcoin directly from the markets as early as the final quarter of 2026.
