Senator Cynthia Lummis has reintroduced the BITCOIN Act to Congress, aiming to establish a Strategic Bitcoin Reserve for the United States.
The bill, which builds on a previous executive order, is now officially listed on the U.S. government website, confirming its formal introduction.
This signals a significant move toward recognising Bitcoin as a national asset, with lawmakers arguing that it could help stabilise the economy and reduce financial risk.
Lawmakers push for Bitcoin to strengthen the U.S. economy
For years, Senator Cynthia Lummis has been one of the most vocal advocates for Bitcoin in Washington.
Her latest legislative effort, the BITCOIN Act, seeks to turn what was once a presidential executive order into a binding law. By doing so, she aims to cement Bitcoin’s role as a key asset in the U.S. economy and ensure the country is prepared for a shifting financial landscape.
The bill has strong backing from Republican senators who see Bitcoin as a tool for financial resilience. Senator Jim Justice, a co-sponsor, stated that the legislation is a logical step toward securing long-term economic stability.
He argues that a government-controlled Bitcoin reserve could help counteract inflation and reduce financial uncertainty without placing additional strain on taxpayers.
Senator Tommy Tuberville has also expressed support, emphasising that Bitcoin should be used to offset national debt.
He compared the cryptocurrency’s impact to past financial shifts in Washington, arguing that the U.S. cannot afford to be left behind in digital finance.
According to Tuberville, integrating Bitcoin into national reserves could be an opportunity to stabilise the country’s balance sheet while maintaining financial sovereignty.
Bernie Moreno, another supporter of the bill, pointed directly to the national debt as a major motivator.
He warned that years of uncontrolled government spending had led to unsustainable financial burdens and suggested that a Bitcoin reserve could provide an alternative means of protecting the country’s economic position.
Senator Roger Marshall added that the global economy is evolving, and the U.S. must adapt to maintain its leadership.
Beyond the Senate, Representative Nick Begich has introduced a companion bill in the House of Representatives, ensuring that Bitcoin is recognised as a strategic asset across both legislative chambers.
He believes that Bitcoin represents an opportunity for the U.S. to maintain financial dominance and argues that failure to act now could result in the country losing its edge in the digital economy.
Despite its strong support, the bill is expected to face pushback from lawmakers who remain sceptical of Bitcoin’s long-term stability.
Some argue that relying on a volatile asset for national reserves carries risks, while others question the implications of the federal government holding such a large Bitcoin supply.
However, Lummis and her allies remain confident that the legislation will gain traction as discussions around digital assets continue.
What the BITCOIN Act aims to achieve
The BITCOIN Act outlines a clear framework for the U.S. government to accumulate Bitcoin similar to its gold reserves.
Source: Congress.Gov
The bill proposes the purchase of one million Bitcoin over five years, funded by reallocating existing financial resources within the Federal Reserve and the Treasury Department.
This approach would ensure that Bitcoin reserves are built without introducing additional government spending.
Security is another key component of the proposal. Under the bill, the U.S. Treasury would oversee a secure network of Bitcoin vaults to protect the government’s holdings. These facilities would operate under strict security protocols, with both physical and digital safeguards in place.
The bill explicitly states that private Bitcoin holders would not be impacted, reinforcing that this reserve is separate from the broader cryptocurrency market.
In addition to accumulating Bitcoin, the bill also introduces a formal policy for handling Bitcoin-related assets such as forks and airdrops.
The initial version required all such assets to be held for a minimum of five years, but the updated bill allows the Treasury to evaluate them based on market conditions. If an asset is determined to have significant value, it can be retained; otherwise, it may be liquidated.
Lummis argues that the creation of a Bitcoin reserve is not just a financial strategy but a move to safeguard the country’s economic future.
She believes that by making Bitcoin a core component of national reserves, the U.S. can reduce its reliance on traditional financial instruments that are increasingly at risk of inflation and instability.
The bill also allows U.S. states to voluntarily contribute their Bitcoin holdings to the national reserve. Any assets provided by state governments would be stored in segregated accounts, ensuring that they remain distinct from federally acquired Bitcoin.
This provision was introduced to encourage broader adoption at the state level while giving individual regions more control over their contributions.
The BITCOIN Act follows President Trump’s executive order, which initially laid the groundwork for government-held Bitcoin reserves. Lummis has stated that this bill is an effort to solidify that policy into law, ensuring that future administrations cannot easily reverse course.
She has framed the legislation as a necessary step to keep the U.S. competitive in the digital asset space, arguing that failure to act now could result in lost economic opportunities.
Conclusion
The introduction of the BITCOIN Act into Congress is a major development for Bitcoin’s place in U.S. financial strategy.
With the bill now officially listed on the government website, it has entered the legislative process, bringing the prospect of a federal Bitcoin reserve closer to reality.
Lawmakers supporting the bill see it as a necessary move to strengthen economic resilience, while critics raise concerns about the risks associated with Bitcoin’s volatility.
Regardless of the outcome, the presence of this bill in Congress signals that Bitcoin is no longer a fringe financial asset, it is now at the centre of a national policy debate.