Treasury Secretary Scott Bessent confirmed the US won’t buy Bitcoin (BTC) to construct its Strategic Bitcoin Reserve (SBR). As a substitute, it should rely solely on property from authorized seizures. This strategy has sparked criticism for probably limiting reserve development.
As the talk in Washington shifts to how the nation may nonetheless strengthen its place within the world crypto race, Senator Cynthia Lummis has a plan.
Cynthia Lummis Pushes Gold Revaluation Plan to Quick-Monitor US Bitcoin Dominance
Lummis, a long-time pro-Bitcoin lawmaker from Wyoming, is pushing the BITCOIN Act to tie gold revaluation to a budget-neutral pathway for increasing the SBR.
“Scott Bessent is correct: a budget-neutral path to constructing SBR is the way in which. We can not save our nation from $37 trillion debt by buying extra Bitcoin, however we will revalue gold reserves to at this time’s costs and switch the rise in worth to construct SBR. America wants the BITCOIN Act,” she articulated.
Her feedback got here in response to Treasury Secretary Scott Bessent. Bessent stated forfeited Bitcoin, already in federal custody, would function the inspiration for the reserve established below President Trump’s March Govt Order.
“Treasury is dedicated to exploring budget-neutral pathways to amass extra Bitcoin to broaden the reserve, and to execute on the President’s promise to make america the ‘Bitcoin superpower of the world,’” Bessent posted.
Whereas the federal authorities holds billions of {dollars}’ price of seized Bitcoin, on-chain knowledge suggests solely about 15% of those property have been legally forfeited.
The rest might be topic to courtroom rulings, creditor claims, or returned to personal house owners. These constrictions make them ineligible for the reserve.
It creates a structural problem, as authorized processes bottleneck the reserve’s development. That is in distinction to an absence of BTC in authorities custody.
Lummis’ gold-revaluation plan goals to sidestep that drawback. Updating the worth of America’s gold holdings to present market costs might unlock a whole bunch of billions of {dollars} on paper.
The Treasury might switch that surplus worth into Bitcoin with out including to the nationwide debt. Theoretically, this could not require tax hikes, spending cuts, or new borrowing.
I’ve a ₿ailing for that. https://t.co/ENhOcl1IAb
— Senator Cynthia Lummis (@SenLummis) August 14, 2025
The Wyoming Senator’s publish alerts her readiness to translate the thought into laws. She additionally demonstrated curiosity in working with Scott Bessent and Commerce Secretary Howard Lutnick.
Collectively, they might establish budget-neutral methods to proceed rising the nation’s Bitcoin reserve and probably outpace friends within the race.
The proposal intensifies hypothesis about America’s long-term crypto technique. Counting on seized Bitcoin creates perverse incentives to broaden asset forfeiture powers, however it could even be a realistic technique to accumulate BTC with out taxpayer expense.
If enacted, the BITCOIN Act might mark the primary time in trendy US historical past that gold revaluation funds strategic cryptocurrency holdings. This is able to be a symbolic and monetary pivot towards positioning the US because the world’s high Bitcoin energy.
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