In a move to cement the United States as "the Crypto Capital of the World," President Donald Trump has revealed plans for a "Crypto Strategic Reserve," spotlighting five major cryptocurrencies: Bitcoin (BTC), Ethereum (ETH), XRP, Solana (SOL), and Cardano (ADA).

The announcement, dropped via social media on Sunday, sent shockwaves through the crypto market, with XRP, SOL, and ADA skyrocketing by as much as 62% in a single day, while heavyweights BTC and ETH each surged over 10%.

Trump’s vision builds on an executive order he signed shortly after taking office in January 2025, tasking a newly formed Presidential Working Group with crafting crypto-friendly policies.

The group was directed to "evaluate the potential creation and maintenance of a national digital asset stockpile," possibly leveraging cryptocurrencies seized by federal law enforcement—a nod to the government’s growing bank of digital assets from criminal busts.

In his Sunday posts, Trump first named XRP, SOL, and ADA, then followed up an hour later, declaring BTC and ETH as "obviously" central to the reserve. The market didn’t hesitate to react.

A Crypto Pivot and Market Frenzy

This pro-crypto stance marks a dramatic U-turn from Trump’s earlier skepticism.

In a 2021 Fox News interview, he famously dismissed Bitcoin as a "scam," warning it threatened the dollar’s dominance. Fast forward to his 2024 presidential campaign, where he aggressively courted the crypto community with promises of deregulation and innovation—promises now seemingly in motion. The Biden administration, by contrast, had tightened the screws on crypto, citing rampant fraud and money laundering, leaving the industry eager for a friendlier White House.

The price jumps tell the story: XRP, Solana, and Cardano—coins often tied to U.S.-based or U.S.-friendly projects—saw the biggest gains, hinting at investor bets on a strategic focus. Bitcoin and Ethereum, the market’s titans, also rode the wave, reinforcing their status as must-haves in any government-backed plan. But why these five? Analysts speculate Trump’s picks blend market leaders (BTC, ETH) with high-potential altcoins (XRP, SOL, ADA), possibly favoring American innovation or legal clarity—XRP, for instance, won a key SEC battle in 2023.

Unanswered Questions and the Crypto Summit

Details remain scarce. How will this reserve work? Will it involve direct purchases, seized assets, or both? Does the Treasury have the authority to stockpile crypto without Congress, or will lawmakers need to weigh in? Trump’s team has promised clarity at the White House’s inaugural Crypto Summit this Friday, March 7, 2025—a date crypto enthusiasts are already circling. The summit could outline funding, management, and legal frameworks, potentially setting a global precedent for state-backed crypto adoption.

The timing is eyebrow-raising too. Trump and his wife, Melania, recently launched their own cryptocurrencies, prompting critics to cry foul. Is this a policy to prop up personal profits? The White House hasn’t addressed the accusations, but the optics are fueling debate on X and beyond.

What It Means for Crypto Investors

For now, the market’s riding high on optimism. A U.S. strategic reserve could legitimize crypto further, drawing institutional cash and mainstream adoption. But risks loom—legal hurdles, political pushback, or vague execution could dampen the hype.

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