「BitBonds」 has been proposed as the solution for Trump's budget-neutral Bitcoin reserve strategy

BlockBeats News, April 1st, the Bitcoin Policy Institute proposed the United States adopt an Enhanced Bitcoin Treasury Bond, known as "BitBonds," as an innovative financial instrument to achieve multiple key objectives, including implementing President Trump's strategic Bitcoin reserve plan.

Written jointly by Andrew Hohns, Founder and CEO of Newmarket Capital and Battery Finance, and Matthew Pines, Executive Director of the Bitcoin Policy Institute, the policy brief states that BitBonds are "a timely idea" that, by reducing the interest burden of U.S. debt and increasing the national Bitcoin holdings, directly implements Trump's directive.

According to the plan, BitBonds will pay investors a fixed 1% annual interest (in USD), much lower than the current 4.5% rate on standard Treasury bonds. Hohns and Pines explain that 90% of the proceeds from BitBonds sales will be used for general government funds, while 10% will be used to purchase Bitcoin and place it in the strategic Bitcoin reserve. Investors will benefit from fixed interest and potential Bitcoin appreciation at maturity, and the government will also retain some Bitcoin gains.