Key Takeaways
- Senator Lummis reintroduced the BITCOIN Act at a Bitcoin convention.
- The invoice proposes buying as much as 1 million BTC over 5 years.
- Trump’s govt order formalized insurance policies for seized Bitcoin belongings.
Senator Cynthia Lummis introduced the reintroduction of the BITCOIN Act at this time at a Bitcoin Coverage Institute convention.
The occasion featured notable Bitcoin advocates, together with Michael Saylor and Vivek Ramaswamy.
Background of the invoice
Lummis first proposed the invoice in July 2024, but it surely failed to achieve bipartisan help, successfully expiring on the finish of the 2023–2024 congressional session.
To stay energetic, laws have to be reintroduced in a brand new session.
Strategic Bitcoin Reserve proposal
Underneath the brand new proposal, the Treasury would oversee a strategic Bitcoin reserve with safe, decentralized storage throughout the U.S.
The invoice additionally contains provisions for dealing with Bitcoin forks and airdrops, requiring a five-year retention interval for such belongings.
Bitcoin buy program
The act proposes a Bitcoin Buy Program that may purchase as much as 1 million BTC over 5 years, with holdings maintained for not less than 20 years.
Transparency measures embrace impartial proof-of-reserve audits. States would even be allowed to retailer Bitcoin in segregated accounts.
Funding the acquisition
To fund the acquisition, the invoice allocates the primary $6 billion of annual Federal Reserve remittances from 2025 to 2029.
Legislative context
Lummis’ proposal follows President Donald Trump’s govt order final week, which formalized insurance policies for managing seized Bitcoin belongings however didn’t embrace new purchases.
David Bailey, CEO of BTC Inc, emphasised that legislative motion is the subsequent step in securing a strategic Bitcoin reserve.