Every once in a while, the government does something that doesn’t completely suck. The BITCOIN Act of 2025, recently introduced in both the House and Senate with bipartisan support, aims to acquire a whopping 1 million Bitcoin over the next five years.
And get this—not a single taxpayer dollar will fund the purchases. Instead, the acquisition will be financed through Federal Reserve remittances, gold revaluations, the Exchange Stabilization Fund, asset seizures, and converting existing reserve assets. Pretty clever. The government is finally thinking outside the box.
The legislation builds on Trump’s executive order establishing a Bitcoin reserve. Under the proposed timeline, the U.S. would buy 200,000 BTC annually for five years, with a mandatory hold period of at least 20 years. No panic selling allowed—the bill restricts liquidating more than 10% within any two-year period.
Uncle Sam’s going diamond hands on Bitcoin—200k coins annually with a 20-year lockup. No paper hands allowed in this Treasury.
Market analysts predict this could boost Bitcoin’s market cap by 25%, potentially adding $460 billion in value. Some optimistic forecasts suggest the price could hit $1 million. Obviously, these people might be smoking something strong, but the impact will definitely be substantial. The acquisition strategy recognizes Bitcoin’s inherent value from its fixed supply cap of 21 million coins, which creates natural scarcity.
The strategic objectives aren’t subtle. The government wants to strengthen national security, provide economic stability, maintain U.S. leadership in the digital economy, hedge against inflation, and offset the national debt. Ambitious much?
But here’s the good part—the bill explicitly protects private Bitcoin ownership and guarantees Americans can self-custody their BTC. The initiative positions Bitcoin as a sovereignty asset similar to the gold reserves kept in Fort Knox. Regular audits by the Comptroller General will provide transparency. For once, Washington seems to be thinking ahead.
Globally, the implications are massive. Other countries are already considering similar reserves, potentially triggering a domino effect in government adoption. El Salvador has already jumped ahead of the curve by making Bitcoin legal tender in 2021 and accumulating 6,000 Bitcoins in their national reserves. It’s basically a new arms race, but with digital assets instead of nukes.
Will it work? Who knows. But it’s certainly less stupid than most government spending programs. Sometimes, even politicians get it right. Accidentally.
