"Trump effect" completely cooling off? White House signs cryptocurrency Strategic Reserve, coin circle "not rising but falling"!

On Thursday local time, US President Trump signed an executive order to establish a strategic Bitcoin reserve, a day after meeting with executives from the cryptocurrency industry at the White House. White House cryptocurrency expert David Sacks said in a post on the social media platform X that the reserve will consist of bitcoins already seized by the federal government in criminal or civil cases, and the US will not sell any cryptocurrencies deposited there. Sacks wrote that the order authorizes the Secretary of Commerce of the Treasury Department to develop a "budget-neutral strategy" to acquire more bitcoins, without increasing costs for American taxpayers. Sacks stated that taxpayer money will not be spent to purchase cryptocurrency, causing the prices of Bitcoin and other tokens to decline. As of the time of drafting, Bitcoin fell by 4.47% to $87,895 per coin. Participants in the White House cryptocurrency summit on Friday expect the event to serve as a platform for Trump to formally announce the establishment of a strategic reserve plan that includes Bitcoin and four other cryptocurrencies. Earlier this week, Trump announced the names of the five digital assets he expects to include in this reserve, each with a significantly increased market value. The President said that the five assets are Bitcoin, Ethereum, XRP, Solana, and Cardano. It is not yet clear how this reserve will function or how it will benefit taxpayers. Trump's support for the cryptocurrency industry has raised concerns among some conservatives and cryptocurrency supporters who believe that these policies are both a "reward" for the wealthy and could potentially damage the credibility of the digital currency industry. During the November election last year, the cryptocurrency industry spent millions of dollars to support Trump and other Republicans. Supporters believe that the reserve fund will help taxpayers benefit from the growth in cryptocurrency prices. The President's backing of the cryptocurrency industry has also sparked questions about conflicts of interest. The Trump family has launched a meme token for cryptocurrency, and Trump himself holds shares in the cryptocurrency platform World Liberty Financial. His aides stated that Trump has transferred control of his business enterprises, which are undergoing scrutiny by external ethics lawyers.