KEY POINTS
- Sacks specifically mentioned Bitcoin when discussing the president's order for assessing a 'digital asset stockpile'
- Bitcoiners and $XRP users had been in a word war over assets that will be considered for a strategic crypto reserve
- $BTC prices were barely moved by the news as the top cryptocurrency remains down by 3.5% in the day
The White House under President Donald Trump's first-ever AI and cryptocurrency czar, David Sacks, had his first press conference Tuesday, and he had some important announcements, including a priority mention for a strategic Bitcoin reserve (SBR) review.
Sacks said the president has instructed Sacks and his office to "evaluate the idea for a Bitcoin reserve," specifically mentioning the world's largest cryptocurrency by market cap.
His comments during the Tuesday press conference mark a potential end to the ongoing word war between top Bitcoiners and XRP holders regarding which assets should be considered for a U.S. digital asset reserve.
Will Sacks's Comments Finally Put an End to $BTC vs $XRP War?
In recent days, Bitcoin users and XRP holders have been going back-and-forth over the worthiness of the coins and their right to be considered as a U.S. crypto reserve asset.
The word war kicked off after Trump issued an executive order that directed a working group to assess the feasibility of a national "digital asset stockpile."
The president didn't specify which cryptocurrencies will be assessed for the treasury, but Bitcoin maximalists believe BTC is the only crypto asset worthy of being considered, while XRP loyalists believe all top digital assets should be considered for assessment.
Sacks said the evaluation of a potential SBR will be a priority for the working group, suggesting that Bitcoin will definitely be in pole position for the review.
JUST IN: 🇺🇸 President Trump's Crypto Czar David Sacks says they are evaluating a Bitcoin Reserve. pic.twitter.com/rDvgIs7dly
— Watcher.Guru (@WatcherGuru) February 4, 2025
Other Key Highlights in Sacks's First Press Briefing
In his first official media briefing, the U.S. crypto and AI czar repeated some of the crucial instructions detailed in the president's digital assets EO, and he also made the following declarations:
- Working group and SEC Task Force cooperation – Sacks said the crypto-focused working group established under Trump's EO and the Task Force formed under the Securities and Exchange Commission will work together to "accomplish the task the president assigned for us in his EO."
- What industry leaders "need" the most – Sacks revealed he has spoken with many key players in the crypto industry and the majority of them said "the number one thing they need from Washington" is regulatory clarity. "They just want to know what the rules of the road are so they can abide by them," he said.
- A callout of Gensler – Sacks took the opportunity to call out what the crypto industry has referred to "regulatory overreach" by the SEC under former Chair Gary Gensler. The crypto and AI czar said the U.S. crypto industry has just come off of four years of "persecution" from the regulator.
- An OCP 2.0 callout – Sacks also revealed that he has spoken with crypto company founders who personally experienced "debanking" under the alleged Operation Choke Point 2.0 of the Biden administration.
- Bringing dominance back home – For Sacks, the SEC's regulatory approach toward digital assets and the impacts of OCP 2.0 pushed crypto companies offshore. He said it's time to bring the innovation drive back to the U.S.
Despite Sacks's bullish statements regarding Bitcoin and the broader crypto space, the top digital asset barely moved and was trading below $98,000 late Tuesday. It has been down 3.5% in the day amid a broader crypto downturn that started over the weekend following Trump's tariff announcements.
While BTC may not have been affected by the positive statements from Sacks, it remains unchallenged in crypto market cap and is still a widely-traded digital asset compared to newer cryptocurrencies.
