FameEX Hot Topics | US Senator Suggests Trump’s Latest Executive Order Could Lead to US Buying Bitcoin

Wyoming Senator Cynthia Lummis recently expressed that President Donald Trump’s executive order (EO) to create a U.S. sovereign wealth fund could be a significant moment for Bitcoin. Lummis, a known Bitcoin advocate, suggested that the creation of such a fund could eventually result in the U.S. government acquiring Bitcoin, potentially changing the country’s approach to digital assets.

On February 3, President Trump signed the EO during a press event in the Oval Office, directing Treasury Secretary Scott Bessent and Secretary of Commerce Howard Lutnick to start the process of setting up a U.S. sovereign wealth fund. This initiative is expected to be enacted within the next 12 months, with plans to "monetize the asset side of the U.S. balance sheet," according to Bessent. While Trump, Bessent, and Lutnick did not specify whether the fund would invest in Bitcoin or other cryptocurrencies, they suggested that the fund might involve purchasing assets like TikTok, which could be subject to a law forcing its parent company, ByteDance, to divest its U.S. operations.

Despite the lack of direct mention of Bitcoin in the EO, Senator Lummis hinted on social media that the sovereign wealth fund might be used to buy Bitcoin. This suggestion gained traction, with Bitcoin advocate Wayne Vaughan also supporting the idea. Vaughan, who has long called for the U.S. government to establish a strategic Bitcoin reserve, pointed out that both Bessent and Lutnick are known Bitcoin enthusiasts. This led to speculation that the new wealth fund could serve as a vehicle for U.S. investments in cryptocurrency.

Since taking office in January, Trump has faced immediate pushback from legal entities over several executive orders. For instance, a federal judge blocked an EO aimed at revoking birthright citizenship under the 14th Amendment, deeming it unconstitutional. These challenges raise questions about whether the sovereign wealth fund and other executive actions could face similar legal hurdles in the future.

Throughout his campaign, Trump made several promises to the crypto industry, including establishing a national Bitcoin stockpile and halting the development of a U.S. central bank digital currency (CBDC). On January 23, he signed an EO to create a crypto working group and prohibited the development of a CBDC. However, the legal fate of these orders remains uncertain, especially as Bitcoin’s price recently dropped below $100,000 amid concerns about potential tariffs.

Disclaimer: The information provided in this section is for reference only and does not represent any investment advice or the official views of FameEX.