President Donald Trump has signed an executive order, directing Treasury and Commerce Departments to first establish the US sovereign money fund.
Trump signed the order They said This will “Mudrikriti to the asset side of the US balance sheet.”
“We are going to stand this thing within the next 12 months,” staff told The reporter, saying that the funds will include “combination of liquid assets” to benefit Americans.
While the details are not clear, Trump earlier suggested that the funding could come from tariffs, unlike traditional sovereign money funds, which usually depends on budget surpluses.
Fund Ready to be funded Through tariffs and other unspecified sources, with the aim of investing in infrastructure projects such as highways, airports, manufacturing hubs and medical research.
Crypto was mentioned?
It is worth noting that the executive order does not specifically refer to cryptocurrency or digital assets. However, given the recent functions of the administration, there is Estimate How sovereign money funds can differentiate with Crypto market.
If American sovereign money funds begin to embrace blockchain-based assets, it can give validity to bitcoin (BTC) or tokens Treasury Bonds as components of a government-backed investment strategy.
Conversely, there are concerns that an increase in a state-managed fund may be regulated or can cause competition with decentralized finance.
A few days ago, on 23 January, 2025, President Trump signed another crypto-related executive order.
The order canceled the previous instructions related to the central bank digital currencies and stopped the federal agencies from making or promoting them. It established a group responsible for proposing a federal regulatory structure for digital assets within 180 days.
With global sovereign money funds of over 8 trillions, the US’s Forest in the region can change the financial markets and potentially change the crypto landscape – playing the role of digital assets in its investment strategy.
