Tariff Cash to Bitcoin? Author Pitches Strategic Reserve Plan

Last Updated on August 18, 2025

Adam Headshot
Written by

Key Takeaways:

  • A new proposal suggests using surplus US tariff revenue to build a strategic Bitcoin reserve through secure, non-yielding cold storage.
  • The $70 billion surplus from customs duties in FY2025 remains unallocated and could support a budget-neutral BTC acquisition strategy.
  • Treasury Secretary Bessent confirmed the government is considering Bitcoin acquisitions via budget-neutral methods, including asset revaluation and confiscated crypto.

A new proposal suggests using part of the United States’ tariff revenue surplus to build a strategic Bitcoin reserve

The idea, put forward by Adam Livingston, author of The Bitcoin Age and The Great Harvest, calls for allocating a portion of monthly tariff surpluses to acquire Bitcoin and storing it securely in multi-signature, geographically distributed cold wallets

Livingston stressed that these funds would not be used for trading, lending, or yield-generating activities, but held strictly as a long-term reserve

He noted that the U.S. had collected $135.7 billion in customs duties as of July, generating a $70 billion surplus that remains unallocated.

This approach aligns with President Trump’s executive order requiring Bitcoin acquisitions to be budget-neutral

However, Treasury Secretary Scott Bessent recently expressed reluctance, saying the government would rely on confiscated assets to build the reserve. 

He later clarified that budget-neutral pathways are still under consideration. 

Other possible strategies include revaluing the Treasury’s gold reserves, currently undervalued on paper, or reallocating assets like oil from the strategic petroleum reserve

The debate highlights ongoing efforts to expand U.S. Bitcoin holdings without increasing debt or spending.

About The Author

Adam Headshot
Written by

Co-Founder / Managing Editor

Adam Morris, the co-founder of Crypto Head and a respected crypto expert, offers insightful commentary and analysis on cryptocurrency, NFTs, and the evolving digital landscape.

His extensive experience and features in top-tier publications like Forbes and CNN underscore his deep understanding of the crypto world and its future potential.

Check Adam out on: