The invoice requires the U.S. to buy 1,000,000 BTC over 5 years and follows Trump’s speech during which he pledged that he would by no means promote the federal government’s Bitcoin holdings.
Senator Cynthia Lummis, a Republican from Wyoming, has formally launched a brand new invoice geared toward making a nationwide Bitcoin reserve.
Launched on Wednesday, the invoice is titled the Boosting Innovation, Expertise, and Competitiveness via Optimized Funding Nationwide (BITCOIN) Act of 2024.
This comes simply days after the U.S. Marshals Service moved $2 billion value of Bitcoin to 2 new wallets, as reported by Arkham Intelligence, which speculated that one in all these wallets could possibly be related to an institutional custodial service, fuelling sell-off fears amongst merchants.
In accordance with Lummis, the acquisition of “substantial quantities” of Bitcoin by the USA can “strengthen the financial condition” of the nation, offering a “hedge against economic uncertainty.”
“Just as gold reserves have historically served as a cornerstone of national financial security, Bitcoin represents a digital-age asset capable of enhancing the financial leadership and security of the U.S. in the 21st-century global economy,” the invoice states.
The invoice additionally mandates that “all digital assets resulting from forks of the Bitcoin distributed ledger, and digital assets distributed via airdrops to Bitcoin addresses are accounted for and reasonably stored in the Strategic Bitcoin Reserve.” It additional prohibits the sale or disposal of Bitcoin for no less than 5 years except explicitly approved by legislation.
To build up the proposed reserve, the invoice outlines a Bitcoin Buy Program.
“The Secretary shall establish a Bitcoin Purchase Program which shall purchase not more than 200,000 Bitcoins per year over a 5-year period, for a total acquisition of 1,000,000 Bitcoins.” Per the invoice, these property might be held for no less than 20 years.
Staunch Supporter of Bitcoin
Lummis is a staunch supporter of Bitcoin. She has proposed a number of legal guidelines to create a transparent and truthful system for digital property.
In 2022, she teamed up with Senator Kirsten Gillibrand to introduce the Lummis-Gillibrand Accountable Monetary Innovation Act, which aimed to set clear guidelines for digital property, shield customers, and make clear the roles of various regulatory our bodies just like the CFTC and SEC. The invoice was amended in 2023 by including stronger shopper protections and anti-money laundering measures.
In January 2024, Lummis and Senator Invoice Hagerty launched the Stopping Illicit Finance By way of Partnership Act. This invoice goals to cease unlawful actions involving cryptocurrencies by making a program for federal businesses and personal corporations to share info and work collectively.
Trump Raises $25 Million at Nashville
In the meantime, Trump raised $25 million on the Bitcoin2024 convention.
“For those of you who didn’t hear it in Trump’s speech, DJT raised $25m in Nashville. His second highest fundraiser ever across three different presidential campaigns,” David Bailey, CEO of Bitcoin Journal, wrote on X.
Trump delivered a keynote speech during which he said that, if elected president, he would dismiss Securities and Trade Fee (SEC) Chair Gary Gensler and vowed by no means to promote the federal government’s Bitcoin holdings.
“For too long, our government has violated the cardinal rule that every Bitcoiner knows by heart: Never sell your Bitcoin,” Trump said. “I am laying out my plan to make sure that the USA would be the crypto capital of the planet and the Bitcoin superpower of the world. We’ll get it completed.”
