Bitcoin News Today: Senator Lummis Proposes BITCOIN Act to Create Strategic Reserve

Senator Cynthia Lummis has introduced a groundbreaking legislative proposal aimed at reshaping U.S. financial strategy by incorporating Bitcoin into the national economic framework. The initiative, dubbed the BITCOIN Act, proposes revaluing U.S. gold reserves at current market prices to fund the creation of a Strategic Bitcoin Reserve [1]. This reserve would serve as a sovereign Bitcoin fund, designed to future-proof the U.S. economy against inflation, de-dollarization, and geopolitical risks [2].

Lummis argues that while Bitcoin alone cannot address the U.S. government’s $37 trillion debt burden, it can function as a strategic complement to traditional fiscal tools [2]. Her proposal suggests using Federal Reserve profits and revalued gold assets to generate capital for Bitcoin purchases, without increasing the national debt or raising taxes [3]. This approach reflects a broader shift in policy thinking, with increasing interest in integrating digital assets into the nation’s economic strategy.

The BITCOIN Act is still in its early stages, but it has sparked significant discussion about the potential for governments to reallocate traditional monetary reserves into digital assets [3]. Lummis has long been a vocal advocate for Bitcoin, emphasizing its role as a form of “digital hard money” in an increasingly decentralized and digital financial world. The proposed legislation would represent a major policy shift, positioning the U.S. at the forefront of global monetary innovation.

However, the U.S. Treasury has maintained a cautious stance, reiterating that gold remains a traditional store of value with no immediate plans for revaluation [4]. This highlights the gap between proposed legislative initiatives and current institutional practices. For Lummis’s strategy to be realized, it would require significant legislative support and a shift in the federal government’s approach to asset management.

The timing of the proposal is notable, as it coincides with a broader landscape of fiscal and monetary developments. The Treasury recently halted the sale of its Bitcoin holdings, a move that came as Bitcoin’s price surged, raising questions about the role of government in cryptocurrency markets [1]. These developments contribute to an ongoing national conversation about the future of money and the potential for digital assets to play a role in financial diversification.

By linking gold revaluation to a strategic Bitcoin acquisition, Lummis is advocating for a balanced approach that leverages existing assets to build a more resilient financial future [3]. The BITCOIN Act could signal a new era in U.S. monetary policy, one where digital assets are not just considered but actively integrated into national financial planning.

Source: [1] U.S. Treasury Halts Sale of Bitcoin Holdings, Price Hits ...

(https://www.ainvest.com/news/treasury-halts-sale-bitcoin-holdings-price-hits-high-2508/)

[2] MetaEra on X: "Lummis: Supports Building Strategic Bitcoin ...

(https://x.com/MetaEraHK/status/1956102224272351400)

[3] How much is that?

(https://www.instagram.com/p/DNVrWbRuI3W/)

[4] Bitcoin News Today: U.S. Halts Bitcoin Sales Amid $15–20 ...

(https://www.ainvest.com/news/bitcoin-news-today-halts-bitcoin-sales-15-20-billion-reserve-strategy-shift-2508/)