U.S. Senator Cynthia Lummis (R-WY) has officially introduced the Boosting Innovation, Technology and Competitiveness through Optimized Investment Nationwide (BITCOIN) Act in the U.S. Senate[. The legislation aims to establish a strategic Bitcoin reserve to bolster the U.S. dollar, pay down the national debt, and cement America’s position as a global leader in financial innovation.
The BITCOIN Act proposes a 1-million-unit Bitcoin purchase program over a five-year period, which would amount to approximately 5% of the total Bitcoin supply. This strategic reserve would be held for a minimum of 20 years and could only be used to reduce the country’s debt.
“Establishing a strategic Bitcoin reserve would firmly secure the dollar’s position as the world’s reserve currency into the 21st century and ensure we remain the world leader in financial innovation,” said Senator Lummis. The bill aims to create a decentralized network of secure Bitcoin vaults operated by the U.S. Treasury Department with stringent security measures.
The legislation has already garnered significant support, with over 2,200 letters sent to U.S. senators advocating for the bill. The purchase of Bitcoin for the strategic reserve would be financed partly by revaluing the Federal Reserve’s gold holdings.
The introduction of the Strategic Bitcoin Reserve bill comes at a crucial time, as inflation rates and national debt levels continue to rise. By diversifying into Bitcoin, the U.S. government aims to secure its economic future and provide a brighter outlook for generations to come.
