Senator Cynthia Lummis Proposes the US to Purchase 1 Million BTC for Strategic Bitcoin Reserve and National Debt Reduction
During the Bitcoin 2024 conference in Nashville, American Senator Cynthia Lummis unveiled legislation aimed at creating a “strategic Bitcoin reserve” to reduce the national debt of the United States.
The Wyoming senator brought a copy of her bill on stage, stating that buying 1 million bitcoins (BTC) over a five-year period could be an innovative solution to the country’s economic woes.
This amount of BTC represents 1/21 of the total Bitcoin supply, as well as $70 billion at the current price.
Vision for the Long Term and Financial Impact
This is the solution. This is the answer. This is our moment to purchase Louisiana.
Senator Cynthia Lummis
Lummis stated that the purchased BTC would be held for at least 20 years.
The senator compared this strategy to the historic purchase of Louisiana in 1803, which doubled the size of the United States.
This initiative aligns with former President Donald Trump’s support for a BTC reserve. In his speech at Bitcoin 2024, Trump expressed his desire to create a “strategic national Bitcoin reserve,” allowing the United States to accumulate BTC, including retaining all seized bitcoins.
At current prices, the purchase of 1 million bitcoins would amount to approximately $70 billion. This proposal aims to utilize the increasing value of Bitcoin to relieve the burden of national debt while capitalizing on the growing popularity and global acceptance of cryptocurrencies.
For the crypto community, especially Bitcoin, this proposal implies a significant upward explosion in BTC prices. A sustainable investment strategy in bitcoins led by a country as influential as the United States could have an immeasurable impact on market prices.
Support and Opposition to the US Bitcoin Reserve
The idea of creating a strategic Bitcoin reserve has received mixed reactions. Supporters believe that this measure could strengthen the United States’ position as a leader in adopting blockchain technologies and cryptocurrencies. However, critics still caution against the inherent volatility of cryptocurrencies and the potential risks to the economy.
Senator Cynthia Lummis is known for her enthusiastic support for the crypto ecosystem and her willingness to modernize US financial policies. By introducing this legislation, she hopes to initiate a debate on the potential benefits of BTC investment strategies and encourage innovative thinking about managing national debt.
