US House Advances 90-Day Strategic Bitcoin Reserve Plan

The U.S. Congress is advancing legislation, including HR 5166, to develop a comprehensive plan for federal Bitcoin custody and management, emphasizing the creation of a Strategic Bitcoin Reserve akin to traditional reserves like oil or gold. This reserve would manage Bitcoin already held by the government, primarily from seizures, and not authorize new purchases, signaling a shift toward viewing Bitcoin as a strategic asset for national security and financial stability. The Treasury Department is required to deliver a detailed report within 90 days outlining custody systems, cybersecurity measures, legal frameworks, and coordination across agencies, with additional classified security assessments involving the NSA. Parallel proposals, such as the BITCOIN Act, suggest more ambitious federal Bitcoin acquisitions, including purchasing one million Bitcoin over five years to hold as a long-term asset. Funding is being allocated through a federal spending bill to support these initiatives, although the legislation explicitly prohibits using funds to develop a U.S. Central Bank Digital Currency. This move reflects growing recognition of Bitcoin's strategic value and the U.S. effort to establish leadership in digital asset governance amid a global trend of national-level Bitcoin holdings.