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Lummis Pushes Strategic Bitcoin Reserve as Key to Offsetting US National Debt

Senator Cynthia Lummis (R-WY) is escalating her push for a U.S. Strategic Bitcoin Reserve, arguing that the digital asset is the only meaningful counterweight to the nation’s soaring debt. In an interview with CNBC, the influential Senator praised the Trump administration and its officials for embracing the concept, which she believes would grow in value over time to act as a crucial balance sheet counterweight.

Lummis indicated that the administration, including Treasury Secretary Scott Bessent and White House staff, is actively reviewing multiple structural options for establishing the reserve.

A key focus of these high-level discussions is finding alternatives to relying solely on the revaluation of gold certificates to fund the new reserve. This exploration of funding mechanisms comes as the government emphasizes that the reserve will be built without incurring new taxpayer spending.

President Trump’s executive order in March stipulated that the initial capitalization for the reserve would come from Bitcoin assets already controlled by the Treasury through criminal and civil forfeitures.

Following a recent, record-breaking forfeiture of nearly 130,000 BTC, the U.S. government’s known Bitcoin holdings have climbed to over $34 billion at current prices, giving it one of the largest sovereign holdings globally and providing a substantial initial base for the reserve.

The budget-neutral approach is a core part of the plan, aligning with guidance from Treasury Secretary Bessent, who has previously confirmed the government would not purchase Bitcoin outright for the reserve.

Lummis, who previously endorsed the idea of revaluing the nation’s gold holdings to market prices and transferring the resulting uplift, confirmed that a budget-neutral path remains the goal.

Momentum for integrating Bitcoin into the national strategy has been building since the President signed the executive order to establish the reserve earlier this year.

 

 

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