Following pro-crypto Senator Cynthia Lummis’ plea to enact a Bitcoin Strategic Reserve bill at the end of July, U.S. Senators have now received over 2,200 letters urging them to support the proposal.
The bill aims to create a “decentralized network of secure Bitcoin (BTC) vaults” managed by the U.S. Treasury, mandating lawmakers and government officials to implement stringent cybersecurity protocols and physical security measures to safeguard Bitcoin assets from theft.
According to Satoshi Action Fund CEO Dennis Porter, Democratic senators received more than 1,300 letters, while Republicans received 850. Independent Party senators received 41.
Senator Lummis quoted Porter’s post, giving thanks to those who sent the letters.
BITCOIN Act To Senate
Lummis, a Republican representing Wyoming, officially introduced the Boosting Innovation, Technology and Competitiveness through Optimized Investment Nationwide (BITCOIN) Act to the U.S. Senate on July 31.
The BITCOIN Act sets a rather ambitious target for the US Treasury to acquire 1 million Bitcoin — approximately 5% of the cryptocurrency’s total supply.
To achieve this, Lummis proposes using existing U.S. Treasury funds to purchase Bitcoin in quantities that align with the Treasury’s current gold holdings.
In July, during the introduction of the proposal, Senator Lummis’ camp released a statement on why the bill could become a necessity, saying that creating a strategic Bitcoin reserve would help future generations deal with the growing-rates of inflation.
Bitcoin is transforming not only our country but the world and becoming the first developed nation to use Bitcoin as a savings technology secures our position as a global leader in financial innovation. This is our Louisiana Purchase moment that will help us reach the next financial frontier
Wyoming Senator Cynthia Lummis
During the first quarter of the financial year 2024, as reported by the Financial Times, US inflation rates rose by more than 3%.
Since then, U.S. inflation has dropped and sparked discussions about potential interest rate cuts by the U.S. Federal Reserve.
As inflation cools, investors are reconsidering their portfolios, with cryptocurrency emerging as a key talking point ahead of the 2024 presidential election.
Presidential candidates from both the Republican and Independent parties, Donald Trump and Robert F. Kennedy Jr, seem to support the introduction of a Bitcoin reserve.
Vice President Kamala Harris, the presumptive Democratic nominee, has also garnered support from leaders in the cryptocurrency sector, a demographic President Joe Biden struggled with.
