White House AI and crypto czar David Sacks has floated the possibility of the U.S. government acquiring Bitcoin without a tax or increasing federal spending,or adding to the national debt.
The suggestion came during a public panel discussion at the Bitcoin 2025 conference in Las Vegas on May 27, where Sacks noted that Washington may not need to expand the federal balance sheet to begin building a strategic Bitcoin reserve.
David Sacks’ Proposal Tied to Growing Institutional Bitcoin Narrative
David Sacks, a senior advisor with close ties to the President and digital asset working groups, characterized the idea as “budget-neutral,” implying reallocation of existing Treasury assets rather than fresh expenditure.
His comments were made alongside those of Bitcoin industry leaders during the opening day of the three-day conference, which has already drawn headline attention for hosting both Vice President JD Vance and members of the Trump family.
Notably, the White House czar’s comments align with rising institutional interest in Bitcoin as a treasury asset, a theme echoed by multiple speakers across the conference.
However, on the same day, it was confirmed that Trump Media had raised $2.5 billion for Bitcoin acquisition, solidifying how entities affiliated with both major U.S. political blocs are engaging with digital assets.
During the session, Sacks also referenced early discussions around so-called “bit bonds” or Bitcoin-backed instruments that could allow the federal government to build BTC exposure while remaining within existing fiscal limits.
Although details remain vague, the framing suggests policymakers may be exploring creative tools that mirror strategies used by sovereign wealth funds or corporate treasuries.
Sovereign Bitcoin Strategies Gain Traction Amid El Salvador’s IMF Balancing Act
The concept of a U.S. sovereign Bitcoin reserve, once a fringe idea, is entering mainstream debate. David Sacks’ proposal, framed as “budget-neutral,” presents a politically palatable entry point for discussions within Treasury and Congressional committees by avoiding associations with increased public spending.
If embraced, this approach would resemble strategies adopted by countries like El Salvador and Bhutan, where Bitcoin purchases have been made through internal reallocations rather than public debt.
El Salvador, in particular, remains under the international spotlight for its steadfast commitment to Bitcoin.
On Tuesday, the International Monetary Fund (IMF) announced a staff-level agreement with the Salvadoran government as part of the first review of a $1.4 billion extended loan program.
While the IMF praised the country’s macroeconomic stability and progress on fiscal reforms, it emphasized that El Salvador’s Bitcoin holdings should remain capped.
As part of the agreement, El Salvador has also committed to withdrawing public sector involvement in the Chivo wallet, the government-run Bitcoin payment app, by the end of July.
This development follows comments made in April by Economy Minister Maria Luisa Hayem, who reaffirmed at the Web Summit in Rio de Janeiro that Bitcoin remains a core government priority.
Despite IMF guidelines, she confirmed that the nation continues to accumulate Bitcoin.
Since the IMF deal was first struck in December 2024, El Salvador has added at least 20 more Bitcoin to its treasury.
As of May 2025, the country holds approximately 6,190 BTC valued at around $675 million. With Bitcoin prices surging in 2025, the nation now sits on more than $350 million in unrealized gains, according to official data.
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