Sponsors (10)
The bill creates a federally managed Strategic Bitcoin Reserve and strengthens private-holder protections to legitimize and potentially profit from crypto, but it materially increases taxpayer exposure to price volatility, cybersecurity and operational risks, and raises concerns about law-enforcement forfeiture, market distortion, and implementation complexity.
Bitcoin holders (individuals and businesses) retain explicit legal protections to keep lawfully acquired coins and to self-custody private keys, preserving ownership rights and private control over assets.
The federal government will create a Strategic Bitcoin Reserve and is authorized to buy and hold Bitcoin (including via redirected Fed remittances), potentially legitimizing crypto markets and diversifying public assets.
If Bitcoin holdings appreciate or act as a hedge, taxpayers could benefit from increased public-asset value and the U.S. could gain a competitive advantage as an innovation leader in digital finance.
All taxpayers are exposed to large market risk because the Treasury/ESF/Fed-remittance mechanisms authorize the government to buy and hold substantial amounts of Bitcoin, whose price volatility could produce significant losses for the public balance sheet.
Centralizing sizeable crypto holdings and publishing holdings/transactions increases cybersecurity and national-security risks by creating high‑value targets and potentially exposing sensitive operational details.
Implementing secure custody, audits, ongoing attestations, and interagency governance creates substantial operational complexity and recurring administrative/contractor costs borne by taxpayers.
Based on analysis of 11 sections of legislative text.
Authorizes Treasury to hold Bitcoin, creates a Strategic Bitcoin Reserve, directs purchase of 1,000,000 BTC over five years, and imposes long holding and transparency rules.
Authorizes the Treasury to acquire and hold Bitcoin and to create a federally managed Strategic Bitcoin Reserve with strict custody, reporting, and holding rules. It directs the Treasury to buy 200,000 BTC per year for five years (1,000,000 BTC total), allows other federal entities to transfer Bitcoin into the Reserve, requires public cryptographic proofs of holdings, and limits sales and disposal for multi-decade periods while establishing custody infrastructure and state opt-in storage accounts.
Official title: To establish a Strategic Bitcoin Reserve and other programs to ensure the transparent management of Bitcoin holdings of the Federal Government, to offset costs utilizing certain resources of the Federal Reserve System, and for other purposes.
Introduced March 11, 2025 by Nicholas J. Begich · Last progress March 11, 2025