March 11 (UPI) — Recently proposed bills in the U.S. House and Senate aim to establish a strategic Bitcoin reserve designed to enhance the nation’s economic stability.
On Tuesday, the chair of the U.S. Senate Banking Subcommittee on Digital Assets, Sen. Cynthia Lumis, R-Wyo., introduced the proposed Boosting Innovation, Technology and Competitiveness through Optimized Investment Nationwide Act.
The proposed BITCOIN Act aims to create a national strategic Bitcoin reserve to generate added value and enhance the nation’s financial standing while ensuring transparent management of federal Bitcoin assets, according to Lumis in her press release.
“I am proud to reintroduce this landmark legislation that will enshrine President [Donald] Trump’s visionary plan to establish the United States Strategic Bitcoin Reserve, thereby fortifying our nation’s economic foundation for future generations,” stated Lumis.
“Bitcoin is not just a technological opportunity; it is a crucial national priority for maintaining America’s financial leadership in the 21st century.”
The proposed initiative would launch a decentralized network of secure Bitcoin vaults managed by the U.S. Department of Treasury, fortified with top-tier physical and cybersecurity measures, according to Lumis.
This legislation would also implement a program to purchase 1 million Bitcoin over a specified timeframe, achieving a national stake of approximately 5% of the global Bitcoin supply, akin to the quantity of gold reserves held by the nation.
The federal government plans to finance these Bitcoin acquisitions by diversifying the funds of the Federal Reserve System and the Treasury Department.
The BITCOIN Act would additionally uphold the self-custody rights of private Bitcoin holders and would not encroach upon their individual financial liberties, Lumis indicated.
Co-sponsors of the proposed enabling legislation include Senators Jim Justice, R-W.V.; Tommy Tuberville, R-Ala.; Tommy Marshall, R-Kan.; Marsha Blackburn, R-Tenn.; and Bernie Moreno, R-Ohio.
“This bill signifies America’s ongoing dominance in financial innovation, strengthens our economic security, and provides a pathway to address our rapidly rising national debt,” Justice remarked.
Tuberville emphasized that a strategic Bitcoin reserve would ensure citizens continue to reap the benefits of the nation’s robust economy. “There’s no reason we shouldn’t utilize Bitcoin to mitigate our national debt,” he asserted, predicting that it would “herald a golden age for America.”
A corresponding measure was introduced in the U.S. House of Representatives by Rep. Nick Begich, R-Alaska.
Previously, Trump signed an executive order establishing a strategic Bitcoin reserve.
