Key takeaways
- Senator Lummis advocates a US strategic Bitcoin reserve strategy to deal with inflation concerns.
- The BITCOIN Act proposes that the US Treasury Secretary acquire 1 million Bitcoins over five years with a holding period of 20 years.
Senator Cynthia Lummis will make a major announcement today at 10 a.m., which could reveal a significant development in her ongoing advocacy for a US strategic Bitcoin reserve.
₿big things are coming👀
— Senator Cynthia Lummis (@SenLummis) 23 January 2025
Lummis signed the X, “Big things to come,” with the “B” stylized to represent the Bitcoin symbol, hinting at an update on Bitcoin and the strategic Bitcoin reserve she has advocated. This was followed by a second post which read “Stay tuned at 10am”
Fox Business reporter Eleanor Terrett confirmed in a post on X that the Senate Banking Committee is to vote at 10 a.m. on Senator Lummis potentially chairing the Subcommittee on Digital Assets.
Senator Lummi’s announcement on X may primarily focus on the vote rather than a Bitcoin update.
However, speculation remains as to whether Lummi’s election as chairman could eventually coincide with an announcement of a development of the US Strategic Bitcoin Reserve.
The Wyoming Republican introduced the Boosting Innovation, Technology and Competitiveness through Optimized Investment Nationwide (BITCOIN) Act in July 2024.
The legislation proposes that the US Treasury acquire up to 1 million Bitcoins over five years, with a mandatory 20-year minimum holding period, in order to deal with inflationary concerns and strengthen the dollar.
While the BITCOIN Act has received mixed responses from Congress, Lummis plans to reintroduce the bill in January 2025, with the support of the newly elected crypto-friendly administration.
A December 2024 meeting between Lummis and Treasury Secretary nominee Scott Bessent, who has expressed support for digital assets, particularly Bitcoin, has fueled speculation about potential updates to the BITCOIN Act or new initiatives involving US financial strategy.
The proposed Bitcoin reserve strategy has been hailed by supporters, who suggest it could strengthen the US dollar by establishing Bitcoin as a complementary asset.
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