Congressman Nick Begich dropped a bombshell this week, confirming the introduction of the BITCOIN Act in the House of Representatives. The legislation proposes an audacious plan: acquire a whopping 1 million Bitcoin over five years, creating a strategic financial backstop for the United States. That’s about 5% of all the Bitcoin that will ever exist. Not exactly pocket change.
The plan doesn’t stop at acquisition. This massive crypto stash would be held for at least 20 years, funded through Federal Reserve earnings and Treasury adjustments. Senator Cynthia Lummis reintroduced the companion bill in the Senate, with six cosponsors already on board, including Tommy Tuberville. President Donald Trump has openly expressed his support for the strategic Bitcoin reserve. Seems like Bitcoin is finally getting some love on Capitol Hill.
Why bother with all this? Supporters see Bitcoin as a hedge against government spending gone wild. Like gold, but digital. Estimates suggest it could offset the national debt by $21 trillion by 2049. That’s trillion with a T. The proposal also positions America as a leader in the cryptocurrency space, rather than a late adopter playing catch-up. The fixed supply of 21 million coins makes Bitcoin particularly attractive as it offers protection against inflation unlike traditional fiat currencies.
The nitty-gritty details are straightforward. Purchase 200,000 BTC annually for five years. The Treasury Secretary would monitor and audit the reserve. The plan would incorporate Bitcoin already seized by the government, which is currently handled in a disjointed manner at best.
Not everyone’s thrilled, of course. Democratic lawmaker Gerald Connolly vocally opposes the initiative, raising concerns about potential conflicts of interest with the Trump administration. Critics question benefits to taxpayers and call the plan speculative. Valid points.
Implementation won’t be a walk in the park. Security concerns, market impact, and regulatory frameworks all need addressing. Imagine the headlines if Uncle Sam’s Bitcoin wallet got hacked.
Still, the proposal represents a dramatic shift in government thinking about digital assets. Bitcoin as national reserve? Ten years ago, that would’ve seemed like science fiction. Now it’s on Congress’s desk. Times change. Fast.
