- Bipartisan support is growing for the creation of a strategic bitcoin reserve, with endorsements from Democratic Rep. Ro Khanna and Republican Sen. Cynthia Lummis.
- Rep. Khanna believes the U.S. government should hold onto seized bitcoin as a strategic reserve asset due to its potential for appreciation.
- Both Democrats and Republicans see electoral upside in embracing bitcoin, making bipartisan backing for a strategic bitcoin reserve increasingly likely.
A bipartisan group of lawmakers is building support for a strategic bitcoin reserve held by the U.S. government. Both Republicans and Democrats see bitcoin’s potential for appreciation and its ability to cement America’s leadership in the emerging crypto economy.
Trump Administration Pushes for a National Bitcoin Stockpile
At a recent conference, former President Donald Trump outlined a policy to create a national bitcoin reserve and never sell the roughly 200,000 bitcoin currently held by the government. Trump likened bitcoin’s potential to the early steel industry and said he wants to make the U.S. the “crypto capital of the planet.”
Robert F. Kennedy Jr., a former presidential candidate now advising Trump, has proposed an alternative plan for the government to acquire 5 million bitcoin, about 25% of the total supply. This would give the U.S. a stake comparable to its share of the global gold reserves.
Senator Lummis Compares Bitcoin to the Louisiana Purchase
Senator Cynthia Lummis introduced legislation directing the Fed and Treasury to purchase 1 million bitcoin for the nation’s reserves. Lummis argues this asymmetric bet could pay off like the Louisiana Purchase in 1803, when Jefferson acquired the territory for a bargain price. She says bitcoin is the “modern day digital gold” that belongs in America’s reserves alongside hard assets.
Democrats Also Voice Support for a Strategic Bitcoin Reserve
Across the aisle, Democratic Rep. Ro Khanna says the government should hold onto any bitcoin it seizes from illicit actors rather than auctioning it off. He argues these funds have potential for appreciation and could help the U.S. lead in crypto innovation.
Other Democrats are also embracing bitcoin, calling for a “crypto reset” in the party’s stance. Advocates say supporting popular bitcoin policies could help Democrats court crypto-savvy voters. Polling shows broad support for bitcoin across party lines.
Conclusion
Bipartisan momentum is growing for a U.S. strategic bitcoin reserve. Leaders from both parties recognize bitcoin’s asymmetric upside as a reserve asset. While some details remain to be worked out, the idea of Uncle Sam holding bitcoin is gaining mainstream credibility.
