GOP Lawmaker Pushes Bill to Turn U.S. Strategic Bitcoin Reserve Into Law

Rep. Nick Begich, a Republican from Alaska, has introduced the American Reserve Modernization Act, a new bill aimed at turning the United States’ strategic bitcoin reserve into federal law. The proposal would place the reserve under the Treasury Department and create a separate stockpile for other federally held digital assets.

What the Bill Would Do

The American Reserve Modernization Act is designed to give the U.S. government a clearer long-term plan for managing bitcoin it already holds, especially bitcoin obtained through federal forfeiture cases. The bill reflects a growing push in Washington to treat bitcoin not just as a speculative asset, but as a possible national reserve asset.

According to the proposal described by Fox Business, the reserve would be housed within the Treasury Department. Bitcoin would be separated from other digital assets, which would be kept in a different federal digital asset stockpile. Supporters argue this separation matters because bitcoin is often viewed differently from other cryptocurrencies due to its fixed supply and strong market position.

Why Supporters Compare Bitcoin to Gold

Begich has argued that bitcoin plays a role in the crypto market similar to gold’s role among precious metals. Gold has long been held by governments as a reserve asset because it is scarce, widely recognized, and historically trusted. Bitcoin supporters say bitcoin has similar traits in digital form, especially because its total supply is capped at 21 million coins.

The White House’s March 2025 executive order also described bitcoin as “digital gold,” pointing to its scarcity and security as reasons the U.S. should consider managing it strategically. The order stated that the U.S. government already held a significant amount of bitcoin but lacked a policy to maximize its strategic value.

Connection to Trump’s Crypto Policy

The bill follows President Donald Trump’s March 6, 2025 executive order establishing a Strategic Bitcoin Reserve and a United States Digital Asset Stockpile. That order directed federal agencies to review government-held digital assets and outlined how forfeited bitcoin could be moved into a national reserve.

However, an executive order can be changed by a future president. That is why lawmakers backing this bill want Congress to codify the reserve into law. If passed, the policy would become more permanent and harder to reverse.

How the Reserve Would Be Funded

The reserve would mainly rely on bitcoin already controlled by the federal government, especially assets seized through criminal or civil forfeiture. The White House order said government bitcoin placed in the reserve should not be sold and should be maintained as a reserve asset of the United States, unless specific legal exceptions apply.

This approach is important politically because supporters want the reserve to avoid new costs for taxpayers. The executive order also instructed the Treasury and Commerce secretaries to explore budget-neutral strategies for acquiring more bitcoin.

Support From Other Lawmakers

The American Reserve Modernization Act has more than a dozen co-sponsors and is described as having bipartisan support. Rep. Pat Harrigan, a Republican from North Carolina and one of the bill’s co-sponsors, said the federal government already holds large amounts of seized bitcoin but does not yet have a clear management strategy.

Supporters say a formal strategy would help prevent rushed sales, improve transparency, and give the U.S. a stronger position in the global digital asset economy.

The Bigger Crypto Debate in Congress

The proposal comes as Congress continues to debate broader cryptocurrency regulation. Fox Business reported that the Senate Banking Committee passed the Clarity Act in a 15-9 vote, sending it toward the Senate floor. Sen. Cynthia Lummis has suggested a vote could come by mid-June, though she also called that timeline optimistic.

Crypto supporters see these developments as signs that digital asset policy is becoming a major part of U.S. financial strategy. Critics, however, may question whether bitcoin is too volatile for a national reserve and whether the government should hold large amounts of cryptocurrency.

Goal of Holding 5% of Global Bitcoin Supply

Begich has said he hopes the U.S. could eventually hold about 5% of the world’s bitcoin supply, or roughly 1 million coins. Supporters compare that target to the government’s role in gold reserves, arguing that early national adoption could give the U.S. a strategic advantage.

A previous Lummis-Begich bitcoin reserve proposal called for acquiring 200,000 bitcoins per year for five years and creating a long-term holding period. That earlier plan also aimed to stop the government from treating bitcoin like a short-term trading asset.

Why This Matters

If the bill advances, it could mark one of the most important steps yet in the U.S. government’s approach to bitcoin. Instead of selling seized bitcoin as it has often done in the past, the federal government could hold it as part of a national financial strategy.

For the crypto industry, the bill signals growing political acceptance of bitcoin. For policymakers, it raises major questions about risk, regulation, custody, national security, and the future of money. The debate is no longer only about whether cryptocurrency should be regulated. It is also about whether bitcoin should become part of America’s official reserve system.

Conclusion

The American Reserve Modernization Act shows that bitcoin policy is moving deeper into the center of U.S. economic and political debate. By seeking to codify a strategic bitcoin reserve, Rep. Nick Begich and supporting lawmakers want to give the federal government a long-term framework for managing digital assets. Whether Congress passes the bill or not, the proposal highlights a major shift: bitcoin is increasingly being discussed not just as a private investment, but as a possible tool of national financial strategy.

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