US Lawmakers Rally Behind Plan for a National Bitcoin Reserve

A new proposal to establish a national Bitcoin (BTC) reserve is gaining bipartisan support, with US lawmakers from both parties aiming to position the US as a global leader in the cryptocurrency space.

This push was sparked by Senator Cynthia Lummis, a staunch advocate for crypto, who introduced the plan at the 2024 Bitcoin Conference in Nashville. Lummis’ bill proposes using federal funds to acquire one million BTC, with the goal of making the US the top national holder of Bitcoin globally.

The proposal has ignited wider political discussion. On the same day, former President Donald Trump outlined his vision for a "national Bitcoin stockpile," vowing not to sell the 200,000 BTC currently held by the US government. Trump compared Bitcoin’s significance to that of the steel industry in the early 20th century and pledged to make the US the "crypto capital of the world."

Adding to the momentum, former presidential candidate Robert F. Kennedy Jr. suggested an even more ambitious plan, proposing that the US acquire five million BTC—approximately a quarter of the total global supply.

Bipartisan Support for Bitcoin Reserve

The idea of a national Bitcoin reserve has drawn support from both sides of the political spectrum. Representative Ro Khanna, a Democrat from California, has publicly backed the proposal, urging the Federal Reserve to consider Bitcoin as a reserve asset. On a recent podcast, Khanna emphasized Bitcoin’s potential for long-term value appreciation and its key role in shaping future financial standards.

Traditionally, the US government has auctioned off confiscated Bitcoin, but Khanna argues that holding onto these assets could benefit the country in the future. He has also called for a "crypto reset" within the Democratic Party, advocating for pro-crypto policies and stronger engagement with the digital asset industry.

Dennis Porter, CEO of the Satoshi Action Fund, a nonprofit, sees this as an opportunity for Democrats to attract a growing number of Bitcoin supporters. As Bitcoin becomes more mainstream, Porter believes that political divisions over cryptocurrency will diminish.

Khanna has urged his party not to oppose Bitcoin, likening such opposition to resisting other technological innovations. He argues that embracing cryptocurrency aligns with broader Democratic goals such as financial inclusivity and sustainable energy practices.

A Bipartisan Future for Bitcoin

Senator Lummis, recognizing the bipartisan potential of Bitcoin, is calling on both Republicans and Democrats to support her bill. While Trump and the Republican National Committee have openly endorsed Bitcoin, Lummis expects Democrats to come on board as well. She believes Bitcoin’s appeal cuts across party lines and could unite lawmakers in the push for a stronger crypto framework.

As the 2024 election approaches, Bitcoin’s role in US policy is expected to become a key issue. The bipartisan backing for the national Bitcoin reserve signals a potential turning point for cryptocurrency legislation, as both parties acknowledge Bitcoin's growing influence in the financial world.

Whether the US becomes a major player in cryptocurrency could hinge on the outcome of these proposals, making this a critical topic in the lead-up to the next election.