Senator Cynthia Lummis from Wyoming has proposed a plan to sell part of the Federal Reserve's gold reserves to fund the purchase of one million Bitcoin for a national strategic reserve1.
This initiative, called the BITCOIN Act, aims to build up federal Bitcoin holdings without adding to the national debt. Lummis, who is closely aligned with President-elect Trump, estimates the acquisition could cost around $90 billion at current prices.
The proposal has stirred debate, with critics like Peter Schiff warning of Bitcoin’s volatility. Jennifer Schulp of the Cato Institute echoed concerns about the risks involved in using government funds for such a purchase.
Although it lacks co-sponsors, Trump’s endorsement of a federal Bitcoin reserve may boost its traction, especially with new pro-crypto lawmakers joining Congress in 2024.
In addition to Lummis’ proposal, Pennsylvania Representative Mike Cabell has introduced legislation allowing his state to invest up to 10% of its funds in Bitcoin, highlighting a growing interest in government-backed crypto reserves.
Bitcoin giant Strategy has added another 4,980 BTC to its reserves in a purchase worth approximately $531.9 million, according to Executive Chairman Michael Saylor.
According to renowned market veteran Peter Brandt, trading isn’t the path to prosperity for the vast majority of people.
Charles Edwards, founder and CEO of Capriole Investments, has offered a fresh perspective on Bitcoin’s stalled price movement near the $100,000 mark, despite growing institutional enthusiasm.
Metaplanet has expanded its Bitcoin treasury with a new acquisition of 1,005 BTC valued at approximately $108.1 million, further cementing its status as one of the largest corporate holders of the digital asset.