Trump to host first crypto summit at the White House on Friday, creating a digital Fort Knox for Bitcoin

It is unclear whether the planned reserve could face legal hurdles, or if it might require an act of Congress.

President Trump is expected to host the first crypto summit at the White House on Friday, where further details are expected on a plan to create a strategic reserve of Bitcoin and other cryptocurrencies, according to a report by The Block.

The plan, which was first announced by Trump in an executive order last month, would see the US government stockpile Bitcoin and other crypto assets, similar to how it holds vast reserves of gold and petroleum.

It is unclear whether the planned reserve could face legal hurdles, or if it might require an act of Congress.

Trump's order also creates a digital assets stockpile for cryptocurrencies other than Bitcoin that have been forfeited.

It directs a full accounting of the federal government's crypto reserves, which The Block report stated are estimated at 200,000 Bitcoin alone. That's worth $17.5bn (£13.6bn) at today's prices.

The report added that the president's economic adviser, Gary Cohn, is expected to attend Friday's summit.

It was unclear how the new stockpile would benefit Americans, but White House officials said it “will not cost taxpayers a dime”.

His implication that the US government would not buy Bitcoin led prices of the world's largest cryptocurrency to fall by more than 5%.

Some countries maintain strategic reserves of national assets to diversify government holdings and hedge against financial risk.

The US also keeps a petroleum reserve. Canada has a maple syrup reserve.

Earlier this week, Trump revealed the names of five cryptocurrencies that he said he would like included in the strategic reserve.

The market prices of the five coins he named - Bitcoin, Ethereum, XRP, Solana and Cardano - swiftly jumped after that announcement.

Trump aggressively courted the crypto community during his presidential campaign. Former US President Joe Biden led a crackdown on crypto, citing concerns about fraud.