U.S. Treasury to Retain Seized Bitcoin as Strategic Reserve, End Auctions

U.S. Treasury Secretary Scott Besant said on Jan. 20 at the 2026 World Economic Forum in Davos that the government will stop selling seized digital assets and classify all Bitcoin held by the Justice Department and Treasury as part of a "U.S. Strategic Bitcoin Reserve," BlockBeats reports. Under the policy, Bitcoin obtained through criminal and civil forfeitures will be retained permanently rather than auctioned by the U.S. Marshals Service, with over 200,000 BTC now held by the government treated as a long-term value reserve on the national balance sheet. Besant stated the reserve will expand on a "budget-neutral" basis through law-enforcement seizures rather than taxpayer-funded purchases, with assets custodied by the Federal Reserve and not sold except in extreme national economic emergencies. Analysts cited in the report said the move marks the first time U.S. policy has elevated Bitcoin to strategic asset status comparable to gold.