Former Trump Crypto Advisor Urges Stronger US Action on Bitcoin Policy

David Bailey, a former crypto advisor during the Donald Trump administration, says federal backing for Bitcoin must extend beyond public endorsements. Speaking at the Bitcoin Investor Week conference in New York, Bailey argued that political support without policy execution will not materially advance adoption.

While Trump signed an executive order in March 2025 establishing a Strategic Bitcoin Reserve, Bailey noted that the government has yet to clarify its total holdings or outline a structured accumulation plan. Data from Arkham Research estimates US-controlled wallets hold roughly 378,372 BTC, valued at over $22 billion, largely from seized assets rather than direct market purchases.

Strategic Bitcoin Reserve and Regulatory Outlook

The reserve initiative faces practical constraints. White House crypto and AI advisor David Sacks has stated that additional Bitcoin acquisitions would need to be budget-neutral, avoiding new taxes or increased federal debt.

Despite policy delays, Bailey remains confident in Bitcoin’s long term trajectory. He argues that broader ownership among voters and sustained political engagement will eventually create a regulatory environment supportive of digital assets.

Bitcoin currently trades near $69,000, well below its previous all-time high, as investors watch developments around proposed market structure legislation and federal crypto strategy.

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