- Matthew Sigel suggests mining royalties for U.S. Bitcoin Reserve.
- Aims for budget-neutral reserve accumulation.
- Proposed $100 million funding, political hurdles anticipated.
Matthew Sigel of VanEck proposed a mining royalty system at the Bitcoin 2025 Conference in Las Vegas, aiming to establish the U.S. Strategic Bitcoin Reserve.
Sigel’s proposal represents a pivot in national reserve policy with implications for Bitcoin and mining markets.
At the Bitcoin 2025 Conference, Matthew Sigel suggested a budget-neutral system for the U.S. Strategic Bitcoin Reserve. His proposal aims to involve mining royalties without impacting taxpayers heavily. This plan follows the March 6 executive order by President Trump.
Sigel, Head of Digital Assets Research at VanEck, detailed that miners, not taxpayers, should supply coins through mining royalties. He emphasized funding the reserve via a $100 million Exchange Stabilization Fund from federal allocations.
Matthew Sigel, Head of Digital Assets Research, VanEck, noted that “relying solely on executive action for establishing the reserve…is gonna get sued by the Elizabeth Warrens of the world.”
Sigel’s strategy could alter Bitcoin mining and federal reserve assets, potentially driving supply and demand shifts. Miners may receive tax exemptions when using waste methane in operations, integrating environmental considerations with reserve goals.
The suggested system could prompt a significant change in federal reserve asset management, diverging from traditional reserve accumulation methods. This could enhance Bitcoin demand, impacting market dynamics and regulatory policies nationwide.
Sigel anticipates legal and political challenges, highlighting the need for legislative support. He suggests small amendments in bills to facilitate Bitcoin accumulation, leveraging the budget-reconciliation process for smoother legislative approval.
About the author
Cryptocurrency Market Sees $372 Million Liquidation Surge
$372M liquidations across crypto markets impact BTC, ETH, and XRP, highlighting retail trader vulnerabilities.
The White House’s Strategic Bitcoin Reserve Initiative
The White House establishes a strategic Bitcoin reserve, influencing digital asset markets, excluding traditional banking regulators.
CZ Considers Suing Bloomberg for Defamation Over Article
Binance's CZ threatens defamation lawsuit against Bloomberg for alleged factual errors in a report.
Bitcoin ETF Inflows Surge to Record Highs
BlackRock and Fidelity drive unprecedented Bitcoin ETF inflows, marking a strong institutional interest supported by evolving regulations.
Binance’s CZ May Sue Bloomberg Over Trump Stablecoin Claims
Binance's CZ considers legal action against Bloomberg for false Trump stablecoin association claims.
Aker ASA Sustains Bitcoin Strategy with 754 BTC Holdings
Aker ASA, a Norwegian company, focuses on Bitcoin through the subsidiary Seetee.
Related
Cryptocurrency Market Sees $372 Million Liquidation Surge
$372M liquidations across crypto markets impact BTC, ETH, and XRP, highlighting retail trader vulnerabilities.
The White House’s Strategic Bitcoin Reserve Initiative
The White House establishes a strategic Bitcoin reserve, influencing digital asset markets, excluding traditional banking regulators.
CZ Considers Suing Bloomberg for Defamation Over Article
Binance's CZ threatens defamation lawsuit against Bloomberg for alleged factual errors in a report.
Bitcoin ETF Inflows Surge to Record Highs
BlackRock and Fidelity drive unprecedented Bitcoin ETF inflows, marking a strong institutional interest supported by evolving regulations.
Binance’s CZ May Sue Bloomberg Over Trump Stablecoin Claims
Binance's CZ considers legal action against Bloomberg for false Trump stablecoin association claims.
Aker ASA Sustains Bitcoin Strategy with 754 BTC Holdings
Aker ASA, a Norwegian company, focuses on Bitcoin through the subsidiary Seetee.
Be the first to leave a comment