The U.S. Treasury has announced the creation of a Strategic Bitcoin Reserve (SBR) to retain all Bitcoin seized through criminal or civil forfeiture, rather than selling it. Treasury Secretary Scott Bessent confirmed that the reserve will grow through enforcement actions and forfeitures, requiring no taxpayer funds. The Bitcoin holdings will be managed under strict custody protocols by the Federal Reserve and can only be sold in extreme national economic emergencies. Bessent emphasized that the policy shift aims to integrate seized Bitcoin into a permanent digital asset reserve, supporting America's national digital asset strategy. The reserve will expand organically as law enforcement recovers more assets, with no taxpayer dollars used for large-scale Bitcoin purchases. This move aligns with U.S. efforts to lead in digital asset regulation and may influence international approaches to managing seized crypto holdings.