The United States may be betting on bitcoin as a strategic financial solution to deal with the debt crisis and protect its global economic position. Senator Cynthia Lummis (R-WY) is calling on Congress to pass the BITCOIN Act – an initiative to establish a strategic bitcoin reserve, helping the US strengthen its financial strength and maintain its competitiveness in the 21st century.

Bold Proposal Amid Rising Public Debt

On the social media platform X, Senator Lummis emphasized the importance of this bill, asserting that the United States needs to “buy now” bitcoin to control its public debt and maintain its global currency position. According to her, only a country that can accumulate a large enough amount of bitcoin can ensure the stability of the world's reserve currency.

Warnings from the financial world reinforce Lummis's point. Blackrock CEO Larry Fink warned in his 2025 annual letter that the US's reserve currency status could be jeopardized if federal debt continues to grow unchecked. He also noted that interest costs are expected to exceed $952 billion this year, more than the national defense budget. If this trend continues, all federal revenue could be consumed by mandatory spending and debt service by 2030.

Brief text of the BITCOIN Act

The BITCOIN Act (Fostering Innovation, Technology, and Competitiveness through Optimized National Investment) was introduced by Senator Lummis on March 11 in the US Senate. The bill would legitimize former President Donald Trump's executive order establishing the US Strategic Bitcoin Reserve.

According to the bill, the federal government will implement a bitcoin purchase program with the goal of accumulating up to 1 million BTC within a certain time frame. This will not use new tax revenue but will be funded through the diversification of assets of the Federal Reserve and the Department of the Treasury.

In addition, the BITCOIN Act also proposes the establishment of a decentralized bitcoin storage system, ensuring physical safety and cybersecurity. At the same time, the bill affirms the right of US citizens to self-custody bitcoin and stipulates that the Federal Reserve cannot infringe on personal financial freedom.

Potential Impact and Future Prospects

If passed, the BITCOIN Act could mark a major turning point in US financial policy. It would not only help the government deal with public debt pressure but could also put the US at the forefront of using digital assets to strengthen the economy.

With the global financial system in turmoil and competitive pressures from emerging economies, the United States may have to consider innovative financial strategies to maintain its dominance. Bitcoin, with its scarcity and ability to hedge against inflation, could become one of the most important strategic tools of the 21st century.