Former White House crypto adviser says President Trump wants to buy bitcoin for a strategic reserve, but a rider in the 2025 NDAA makes open‑market purchases legally questionable.
Former White House crypto adviser Patrick Witt told the What Bitcoin Did podcast that President Donald Trump remains interested in purchasing bitcoin for a U.S. Strategic Bitcoin Reserve, but a provision in the 2025 National Defense Authorization Act (NDAA) makes such open‑market acquisitions “questionable legality,” according to Bitcoin.com News.
The NDAA rider, added by Congress in response to concerns over federal spending authority, explicitly prohibits outright open‑market purchases of bitcoin for the reserve. Witt said the rider creates a “questionable legality” because Congress controls federal spending, and any attempt to buy bitcoin without a specific legislative grant could be challenged.
The November 3 midterm elections gave Democrats control of both the House and Senate, a shift that Witt believes will make passing a standalone bill to authorize the reserve “incredibly difficult.” He also noted that Senate Banking Committee chair Elizabeth Warren, a known crypto critic, could further impede any legislative effort.
The reserve was created by a March 2025 executive order that pooled seized government bitcoin and tasked the Treasury and Commerce departments with finding budget‑neutral acquisition methods. No public strategy has emerged, and Witt warned that without new legislation the reserve could be reversed by a future administration. Nevertheless, MicroStrategy CEO Michael Saylor argued that bipartisan support for sovereign bitcoin holdings persists, suggesting the idea may survive partisan shifts.
Key indicators include any Treasury guidance on budget‑neutral buying, the fate of the NDAA rider in the upcoming defense appropriations bill, and whether a lame‑duck Congress acts on digital‑asset legislation before the new Democratic majority takes office in January.
The rider added to the 2025 National Defense Authorization Act bars outright open‑market purchases of bitcoin for the U.S. Strategic Bitcoin Reserve.
Democrats won both the House and Senate in the November 3, 2026 midterm elections.
Yes, Witt warned that without new legislation, a future administration could repeal the executive order that created the reserve.
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