U.S. Lawmakers Propose Creation of Federal Bitcoin Reserve to Buy One Million BTC

In a groundbreaking announcement at the 'Bitcoin for America' summit in Washington D.C., Senator Cynthia Lummis of Wyoming disclosed plans to reintroduce the strategic Bitcoin reserve legislation, known as The Bitcoin Act. This proposal aims for the United States to purchase one million BTC, enhancing its role in the evolving digital economy. Alongside Senator Lummis, notable politicians such as Senator Jim Justice and Congressman Nick Begich are supporting this initiative. Begich, who will also be introducing a similar bill in the House, stressed that this legislation is pivotal for maintaining U.S. financial independence and global leadership. The momentum for cryptocurrency legislation is building, especially following President Donald Trump's recent signing of an executive order to create a federal strategic Bitcoin reserve using confiscated bitcoins from past hacks—amounting to about 200,000 BTC pending audits. The Bitcoin Act of 2025 would ensure a steady acquisition of BTC, targeting 200,000 per year, and holding them for at least two decades. Proponents like asset manager VanEck suggest that this reserve could significantly mitigate the national debt, projecting a potential offset of around $21 trillion by 2049 if the U.S. follows the proposed strategic path. The implications of this legislation could be transformative, offering a robust framework for integrating cryptocurrency into the national economy. However, while the bipartisan support indicates a positive shift, it’s crucial to consider the volatility and regulatory challenges within the cryptocurrency space. Additionally, future administrations could pose risks to such initiatives if they do not share the same vision for digital assets. Overall, this legislative push represents a significant step in legitimizing Bitcoin and could pave the way for broader acceptance of digital currencies at both national and global levels. As this proposal progresses, it will be essential for stakeholders in the financial and crypto sectors to monitor its developments closely. (Note: This article has been analyzed and reviewed by artificial intelligence.)