Trump’s Bitcoin Reserve Faces Key Vote as Byron Donalds Pushes New Bill

YEREVAN (CoinChapter.com) — U.S. Representative Byron Donalds plans to introduce a bill to protect Trump’s Bitcoin Reserve, ensuring it remains part of the U.S. financial system. The bill seeks to formalize Trump’s executive order, which established a Strategic Bitcoin Reserve using seized Bitcoin from government criminal cases.

Trump signed the executive order on March 7, directing that Bitcoin obtained in government seizures be used to create a national reserve. If passed, the bill would prevent future administrations from reversing the policy through executive action.

The Strategic Bitcoin Reserve would also be part of a U.S. Digital Asset Stockpile, solidifying Bitcoin’s role in government-held assets. The bill requires 60 votes in the Senate and a majority in the House to pass.

Byron Donalds Calls for an End to Crypto Regulations

Speaking to Bloomberg, Byron Donalds described the bill as a response to previous government actions against cryptocurrency.

“For years, the Democrats waged war on crypto,”

Donalds said.

“Now is the time for Congressional Republicans to decisively end this war.”

The proposal comes at a time when crypto regulations remain uncertain, with agencies like the SEC and CFTC often conflicting over jurisdiction on digital assets. The bill aims to create legal clarity and prevent policy changes that could disrupt the Bitcoin Reserve.

23 U.S. States Support BTC Reserves

According to Bitcoinlaws data, at least 23 U.S. states have introduced bills supporting state-level Bitcoin reserves. These proposals indicate growing interest in using Bitcoin as part of state financial policies.

Some states have explored Bitcoin holdings as a hedge against economic risks, while others have introduced tax policies supporting Bitcoin mining and custody. The trend reflects a broader shift toward recognizing Bitcoin as a strategic asset in the U.S. financial system.

Bitcoin Reserve Bill Could Impact U.S. Crypto Policy

Anndy Lian, an intergovernmental blockchain expert, told Cointelegraph that the bill could influence how the U.S. government approaches Bitcoin.

“It builds on Trump’s earlier executive action by providing a statutory backbone, potentially clarifying the government’s stance on digital assets,”

Lian said.

The bill would establish a legal foundation for Bitcoin reserves, preventing future administrations from easily altering or dismantling the policy. The legislation could also encourage more consistent regulations, addressing the uncertainty that has affected crypto businesses and investors.

Challenges in BTC Custody and Funding

The bill allows the U.S. Treasury and Commerce secretaries to develop budget-neutral strategies for acquiring more Bitcoin, provided that taxpayers do not incur additional costs.

Although the current policy does not include direct Bitcoin purchases, it does not rule out future acquisitions. Policymakers will need to address custody and security challenges before implementing the reserve fully.

U.S. Bitcoin Reserve and Global Reactions

Lawmakers in Europe have not commented on the U.S. Bitcoin Reserve, as the European Union focuses on launching the digital euro. While the bill does not change existing U.S. Bitcoin policies, it could set a precedent for government-held crypto reserves.

As Congress prepares to debate the bill, the decision will determine whether Bitcoin remains part of the U.S. government’s financial strategy in the long term.