Lummis to propose Fed adopt Bitcoin as reserve asset at Bitcoin2024

Wyoming Senator Cynthia Lummis known for her pro-crypto stance, plans to propose that the Federal Reserve hold Bitcoin as a strategic reserve asset, akin to gold and foreign currencies, Fox News reported on July 24.

The Republican senator, known for her pro-crypto stance, plans to propose that the Federal Reserve hold Bitcoin as a strategic reserve asset, akin to gold and foreign currencies. Sources told Fox that Lummis hopes former President Donald Trump will endorse the bill, lending significant weight to her proposal.

The news comes amid rumors that Trump, who is also slated to speak at the conference, had plans to endorse Bitcoin as a strategic reserve asset. Trump has voiced strong support for Bitcoin and crypto in recent weeks, which has led to endorsements from industry leaders across crypto and tech sectors.

Details of the bill remain under wraps, but initial drafts suggest it directs the Fed to purchase and hold Bitcoin as a reserve asset. Lummis has been discreetly seeking support from colleagues on the Senate Banking Committee for co-sponsorship, the report said.

The US currently holds around 210,000 bitcoins, valued at over $66,000 per token, primarily through Department of Justice seizures from illicit actors. Lummis, a Bitcoin investor and vocal advocate, previously suggested diversifying the Fed’s $40 billion in foreign currencies with Bitcoin.

However, the proposal faces significant hurdles under the current administration, which has taken a cautious approach toward digital assets.

The conference will feature other prominent figures like MicroStrategy’s Michael Saylor, Ark Invest’s Cathie Wood, and independent candidate Robert F. Kennedy Jr.

Vice President Kamala Harris, the likely Democratic nominee, declined an invitation to the conference but is reportedly open to courting crypto voters.

If introduced, Lummis’ bill could signal a major shift in US financial policy, potentially driving up Bitcoin’s value and prompting other nations to follow suit. The legislation’s fate will depend on Congressional support and the outcome of the November presidential election.

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