Bo Hines on Fort Knox Gold and Bitcoin Exchange

Bo Hines, Trump’s Crypto Council Chief and head of the Presidential Council of Advisers for Digital Assets, expressed openness to exchanging Fort Knox gold reserves for Bitcoin, provided it remains budget-neutral.

> “If it’s budget neutral and doesn’t cost a taxpayer a dime, you’re kind of exchanging one for the other,” Hines stated in a recent interview with FOX Business journalist Eleanor Terrett, when asked whether selling some US gold reserves to buy Bitcoin is feasible.

Hines emphasized that the working group is not committed to any specific strategy but is willing to explore various “creative ideas.” He noted that the current White House welcomes innovative solutions.

> “One thing that’s different about this White House is we welcome in new ideas, innovative solutions,” Hines remarked.

When questioned about including other cryptocurrencies aside from Ethereum, XRP, Solana, and Cardano—four major altcoins mentioned by Trump in his first national crypto reserve statement—Hines confirmed support for innovations across multiple crypto ecosystems. He pointed out that the four altcoins were highlighted due to their market cap dominance.

Lummis’ Proposal to Sell Off a Portion of Fed’s Gold Holdings

Senator Cynthia Lummis previously proposed that the US Treasury Department convert a portion of the Federal Reserve’s gold holdings into Bitcoin, aiming to create a national Bitcoin reserve.

Last year, Lummis introduced the BITCOIN Act (Boosting Innovation, Technology, and Competitiveness through Optimized Investment Nationwide), intending to acquire 1 million Bitcoin—about 5% of the total circulating supply—through the sale of Fed gold certificates.

This proposal aligns with Trump’s plans for a Bitcoin reserve, though his initial focus was on utilizing seized government Bitcoin holdings.

> “We already have the financial assets in the form of gold certificates to convert to Bitcoin,” Lummis stated in a November interview with Bloomberg. “So the effect on the US balance sheet is pretty neutral.”

While Lummis’ bill did not advance during the 2023-2024 Congress session, she reintroduced the Bitcoin ACT (S.954) at a Bitcoin-focused conference hosted by the Bitcoin Policy Institute, aiming for the US to acquire 1 million Bitcoin. The bill’s text had not been submitted as of March 21.