U.S. President Donald Trump’s decision to create a Strategic Bitcoin Reserve (SBR) has removed the “last existential risk” for Bitcoin, according to Bitwise CIO Matt Hougan.

He stated that this move makes the current moment “the best time in history” to buy digital gold, considering the balance of risk and return.

Hougan noted that Bitcoin’s primary threats in the past included technological issues, lack of reliable infrastructure, and regulatory uncertainty.

Over time, the asset has overcome these challenges with the launch of major exchanges, spot Bitcoin ETFs, and institutional custodians.

The biggest remaining threat was a potential government ban. However, Trump’s executive order establishing the SBR has eliminated this risk.

The plan includes creating a reserve of 103,500 BTC, partly sourced from confiscated assets. Authorities will also develop strategies to replenish the reserve without taxpayer costs, such as through gold revaluation.

Hougan described Bitcoin as the best “backup plan.” If the U.S. dollar ever comes under threat, he believes crypto is a better alternative than switching to, for example, the Chinese yuan.

He also noted that Bitwise clients’ digital asset allocations have grown from 1% two years ago to 3% today, with expectations of further increases to “5% and beyond.”

On March 7, Hougan previously stated that the SBR would reduce the likelihood of a Bitcoin ban and enhance its legitimacy in the eyes of investors and regulators.