Senator Lummis Reintroduces Bitcoin Act for US Reserves

United States Senator Cynthia Lummis has reintroduced The Bitcoin Act, a legislative proposal that aims to include Bitcoin in the nation's reserves. This move follows President Trump’s executive order establishing a Strategic Bitcoin Reserve. The United States has been at the forefront of pro-Bitcoin policies, aligning with Trump’s vision for the industry.

The Bitcoin Act, announced by Senator Lummis, seeks to codify the President’s vision into law. While the executive order was welcomed by the market, it primarily focused on seized crypto assets. In contrast, The Bitcoin Act emphasizes large-scale adoption to bolster the country's Bitcoin holdings. According to the bill, the United States plans to acquire one million BTC over five years to support debt payments. This acquisition will be funded through Federal Remittances, Gold Certificate Revaluations, and the Exchange Stabilization Fund, without relying on taxpayer money.

The bill also proposes the establishment of a decentralized network by the Secretary to secure the country's Bitcoin holdings, thereby minimizing the risk of simultaneous compromise. Senator Lummis expressed her enthusiasm for the bill, stating that it transforms the President’s visionary executive action into enduring law, ensuring that the nation harnesses the full potential of digital innovation to address national debt while maintaining a competitive edge in the global economy.

The Bitcoin Act was first introduced in July 2024 but did not garner bipartisan support. The previous administration was seen as opposed to the crypto industry. Senator Lummis hinted at the reintroduction of the bill when she announced her involvement in Bitcoin For America, scheduled for March 11.

Multiple industry leaders have expressed support for the bill, highlighting its potential role in global adoption. Congressman Nick Begich noted that a Strategic Bitcoin Reserve would ensure the country’s dominance in finance and strengthen economic innovation. Bitcoin enthusiasts have also shown optimism following the announcement, despite a recent downturn in crypto prices. Market analysts have projected that the reserve could have a significant impact on Bitcoin prices and foster positive crypto regulations.