Donald Trump pledged to be the first “pro-bitcoin president.” Now, Trump’s crypto donors are wondering if his promise to create a “strategic bitcoin reserve” will come to pass. CNN’s Jon Sarlin explains what that is and why the crypto industry wants it.

New York

Donald Trump is preparing to take office after defeating Kamala Harris in the U.S. Presidential election.

U.S. Presidential Elect

Donald Trump has gained significant attention within the cryptocurrency community for his pro-Bitcoin stance, with promises that have set high expectations among his crypto donors. At a Bitcoin conference held in Nashville, Trump outlined proposals resonating with the crypto industry, including plans to replace current Securities and Exchange Commission leadership with crypto-friendly regulators. One of his key proposals involves establishing a "strategic Bitcoin reserve," a concept that has stirred discussion and speculation.

Currently, when the U.S. government confiscates cryptocurrency in criminal operations, it disposes of these assets through auctions, adding substantial amounts of Bitcoin to the market. Trump's proposal suggests that instead of selling these confiscated digital assets, they should be kept as a reserve. This initiative, while lacking detailed rationale from Trump, is supported by some who believe such reserves could potentially combat inflation. In practice, holding seized Bitcoin in reserve would prevent market saturation, boosting Bitcoin's value, a move favored by current Bitcoin proprietors. 

Other political figures at the Nashville conference like Senator Cynthia Lummis and Robert F. Kennedy Jr. proposed going beyond Trump's plan by advocating for the government to purchase Bitcoin actively. Such moves are perceived as substantial financial boosts to current Bitcoin holders, as government buying would likely elevate Bitcoin's market value significantly. Despite this, Trump's previous dismissal of Bitcoin as a 'scam' contrasts starkly with his newly supportive stance, following substantial financial backing from the crypto industry during his election campaign.



Here’s how Trump might pay his crypto donors back

Donald Trump's re-election has the crypto industry salivating, and Bitcoin spiking. But what will the self-described pro-Bitcoin president actually do? To answer that, go back to July. Hello, Bitcoiners. Donald Trump's speech at the Bitcoin conference in Nashville was red meat for the crypto audience. His proposals echoed the wish list of the crypto industry, including firing the head of the SEC, and staffing the government with regulators who quote, love crypto. But one part of his plan was so hotly discussed beforehand, that there were betting odds on whether he would announce it. So what even is that? Right now, when the government seizes crypto in a criminal operation, it sells it at auction. And because criminals really like to use crypto, there are billions of dollars at one time in the government's Bitcoin holding. Trump's plan is to take that crypto and hold it. Trump didn't really go into details about why he thinks the government should be doing this, but other people who have called for similar government Bitcoin reserves claim that it will somehow stop inflation. But in practice, the government holding onto crypto like this would have the effect of pumping up Bitcoin's price. The stockpiling would benefit Bitcoin owners because it would stop the US government from selling the crypto that it has, and that it has seized in these prosecutions. When it does that, it floods the market with coins and a sale and that depresses the price. So by holding it in reserve, the government's kind of inflating the value of Bitcoin and obviously Bitcoin holders like that. Other politicians at the conference like Senator Cynthia Loomis and Robert F. Kennedy Jr. went even further. They called for Bitcoin reserves. That means not just holding on to seized Bitcoin like Trump proposed, that would involve the government actually buying billions of dollars worth of Bitcoin. There's no way to look at this except as a huge gift of tax money being transferred to Bitcoin holders, because when the government starts buying a lot of Bitcoin or when anybody starts buying a lot of Bitcoin, the price goes up. This isn't a very liquid market. If the government comes in and starts guaranteeing that it's going to buy Bitcoin of a certain amount every day for years, potentially, that will do that will pump the market that will make some rich people much richer. Trump wasn't always offering up plans to pump up crypto and make Bitcoiners rich. Bitcoin just seems like a scam. But now, after the crypto industry piled millions of dollars into the election and Trump himself took breaks from the campaign trail to shill his own crypto, the Bitcoin believers are betting big that the president will make good on his promises. Have a good time with your Bitcoin and your crypto and everything else that you're playing with.

Two regional jets crashed into each other on the tarmac at New York's LaGuardia Airport when the wing of one aircraft hit the front end of another. One flight attendant was injured.

LaGuardia Airport

Two regional jets collide on tarmac at New York's LaGuardia Airport

Two people were killed in what appears to be a vehicle and stabbing attack outside a synagogue in Manchester, England. CBS News' Holly Williams has the latest.

Manchester

Two killed in attack near synagogue in England

Blame was thrown around by all sides on the first day of the shutdown after the White House and Congress failed to agree on a way to keep the U.S. government funded and open. The White House said layoffs to the federal workforce were ‘imminent.’

Washington

White House says federal worker layoffs ‘imminent’ after shutdown

Jane Goodall, the British conservationist and researcher renowned for her work with chimpanzees, has died at age 91. The Jane Goodall Institute confirmed her death on Instagram Wednesday, saying she died of natural causes.

Los Angeles

Jane Goodall, chimpanzee researcher and conservationist, dies at 91

U.S. President Donald Trump has signed an executive order, promising military action if necessary, to defend Qatar in the face of any future attack. It follows an Israeli strike on Doha last month, targeting a Hamas negotiating team. Qatar called the attack a violation of its sovereignty, prompting Trump to issue the new security assurances to the Gulf nation.

Doha

Trump signs executive order protecting Qatar after Israeli strike

The Israeli military is pressing on with its offensive in Gaza, launching strikes across the territory, as Hamas weighs up its response to the U.S. peace proposal. Debora Patta reports.

Jerusalem

Middle East Conflict

Israel continues Gaza offensive as Hamas weighs U.S. peace deal

The Supreme Court has added another blockbuster case to its new term of cases. The court announced it would hear whether President Trump can legally fire Federal Reserve Governor Lisa Cook. Jessica Levinson has more.

Supreme Court to weigh Trump firing of Fed's Lisa Cook

Flash floods in Ukraine's Odesa killed at least nine people, including a family of five trapped in their home as it was engulfed by water, emergency services said on Wednesday (October 1), as torrential rain left hundreds in need of rescue and thousands without power.

Odesa Oblast

Deadly flash floods hit Odesa after downpours in Ukraine's south

Parts of the U.S. government remain closed after Senate votes failed to pass funding. A GOP-backed House bill fell short of the 60-vote threshold, leaving 750,000 federal workers facing furloughs and possible military pay delays.

Government shutdown continues after Senate votes down resolutions

In Afghanistan, concerns are growing after days of virtually no internet connectivity. The blackout has disrupted banking, commerce and aviation. The Taliban denies banning internet services.

Kabul

Afghanistan imposes internet blackout

U.S. President Donald Trump said on Tuesday that Hamas militants have about three or four days to respond to his Gaza peace plan proposal or face the consequences. But Gazans saw little hope in the plan, which was presented to Hamas after Israel had endorsed it as satisfying its war aims.

Hamas under pressure as Trump issues deadline on Gaza peace plan

U.S. President Donald Trump threatened to use 'dangerous' U.S. cities as training grounds for the military at a rare meeting of top military officials where he and U.S. Defense Secretary Pete Hegseth took aim at what they called 'woke' military standards.

Trump threatens to train military in U.S. cities

At least 69 people were killed after a 6.9-magnitude earthquake shook the coastal city of Bogo and outlying rural towns in Cebu province in the Philippines, officials said. CBS News foreign correspondent Anna Coren has the latest details.

Cebu

Dozens killed after 6.9-magnitude earthquake shakes Philippines

U.S. President Donald Trump and lawmakers failed to reach a funding deal, causing the government to shut down Wednesday. Tens of thousands of federal workers will be told to stay home – furloughed without pay.

U.S. government shuts down after lawmakers fail to reach funding deal

U.S. President Donald Trump is amping up pressure on Hamas to respond to his 20-point peace plan to end the war in Gaza. He says he wants a response in a matter of days or there will be a ‘very sad end’ to the conflict.

Trump puts pressure on Hamas with deadline on Gaza peace plan

U.S. Defence Secretary Pete Hegseth said there would be no more ‘overbearing rules of engagement’ for the U.S. military while President Donald Trump threatened war on ‘the enemy from within’ at a gathering of top U.S. military commanders.

Hegseth calls for end to ‘politically correct’ U.S. military leadership

European leaders, from Ursula von der Leyen to Emmanuel Macron, have reacted positively to U.S. President Donald Trump's plan to end the war in Gaza.

EU leaders urge Hamas to accept Trump's Gaza plan 'without delay'

Military leaders have been summoned to Quantico Marine Corps base from all around the world by Defense Secretary Hegseth for a rare, in-person meeting. Democratic lawmakers have raised safety concerns about the military leaders leaving their posts for the well-publicized meeting.

Quantico

Hegseth gathers U.S. military leaders for rare, in-person meeting

Imelda is now a Category 1 hurricane, threatening dangerous weather conditions on the East Coast alongside Hurricane Humberto. CBS News' Rob Marciano has more details.

Folly Beach

Imelda becomes hurricane, threatens dangerous conditions on East Coast

Venezuelan President Nicolas Maduro said Monday he is ready to declare a state of emergency over the threat of U.S. "aggression," following a spate of deadly U.S. strikes on suspected Venezuelan drug boats.

Caracas

Maduro ready to declare state of emergency over U.S. 'aggression'

Some have expressed excitement after Bad Bunny was announced as the Super Bowl halftime performer, while others have criticized the pick. CBS News' Lilia Luciano reports.

Bad Bunny to headline Super Bowl 2026 halftime show

President Donald Trump said he would impose a 100% tariff on all films produced overseas that are then sent into the U.S., repeating a threat made in May that would upend Hollywood's global business model.

Hollywood

Global Tariffs

Trump says U.S. to impose 100% tariff on movies produced overseas

Moldova's pro-Europe governing party has won a majority in key parliamentary elections. The result brings Moldova closer to EU membership — but not everyone is celebrating.

Chișinău

Pro-EU party wins majority in Moldova election

U.S. President Donald Trump outlined a 20-point plan for peace in Gaza as he stood with Israeli Prime Minister Benjamin Netanyahu at the White House. Hamas has yet to comment on the plan.

Trump, Netanyahu announce plan to end Gaza conflict

Amid growing impatience over the Kremlin’s reluctance to participate in direct talks with Ukraine, Washington is now considering providing Kyiv with Tomahawk missiles, according to U.S. Vice President JD Vance.

Ukraine Invasion

Washington might send Tomahawk missiles to Ukraine, Vance says

The FBI says it is investigating 'an act of targeted violence' after a man crashed his vehicle through the front doors of a Michigan church, opened fire with an assault rifle and set the church ablaze, killing at least four people and wounding at least eight others.

Grand Blanc

Investigators look for motive in deadly Michigan church shooting

Washington is preparing for the arrival of Israeli PM Benjamin Netanyahu, who is set to meet with President Donald Trump at the White House on Monday. President Trump is advancing a plan aimed at securing the release of hostages, ending the war in Gaza, and outlining a post-war strategy.

Netanyahu set to meet Trump at the White House

The military wing of Hamas said it had lost contact with two Israeli hostages held in Gaza City, and called on Israel to pull troops back and suspend air strikes for 24 hours so fighters could retrieve the captives.

See The Full Story

U.S. Presidential Elect