Senator Cynthia Lummis has proposed a Strategic Bitcoin Reserve to address the US national debt, which stands at $36 trillion. She believes that Bitcoin’s growth in value could help reduce this debt significantly over the next twenty years. Lummis argues that this reserve would fix financial errors made by previous generations and ease the economic burden on younger Americans.
In a recent interview, Lummis stated that a Bitcoin reserve could potentially halve the national debt. She noted that Bitcoin has historically increased in value by about 55% each year, although she anticipates this rate will decline over time. Even with a slower growth rate, she believes that investing in Bitcoin now could help pay off a large portion of the debt in two decades.
Lummis mentioned Robert F. Kennedy Jr., who supports a similar approach. She thinks that if a substantial reserve is created, it could eliminate the national debt entirely. She sees Bitcoin as the only asset capable of such significant growth and a way to correct years of financial mismanagement.
Last July, Lummis introduced the BITCOIN Act, which suggests that the US government should acquire 1 million Bitcoin as part of its financial strategy. She has also become the first chair of the Senate Banking Subcommittee on Digital Assets, highlighting her role in shaping crypto policy.
Support for a Strategic Bitcoin Reserve is gaining traction at the state level. Dennis Porter, founder of the Satoshi Action Fund, reported that 15 states support the idea, with at least 11 states introducing bills to create such a reserve. Arizona and Utah have already moved their proposals forward in legislative committees.
Public interest in Bitcoin as a national reserve asset is also rising. Over 3,300 letters have been sent to Congress members urging them to recognize Bitcoin’s importance. This movement gained momentum after former President Donald Trump signed an executive order for a national digital asset stockpile, although it did not specifically mention Bitcoin.
Lummis is optimistic that a Strategic Bitcoin Reserve could restore financial stability in the US and help maintain the dollar’s status as the world’s leading currency.
