Senator Cynthia Lummis Proposes Strategic Bitcoin Reserve to Tackle $36 Trillion US Debt
Could Bitcoin Be the Answer to America’s Debt Crisis?
Senator Cynthia Lummis has proposed a bold solution to the United States’ growing financial crisis: a Strategic Bitcoin Reserve. With the national debt surpassing $36 trillion, Lummis believes Bitcoin’s long-term value appreciation could help cut the deficit over the next two decades.
Bitcoin as a Hedge Against Debt
In a recent interview, Lummis suggested that a national Bitcoin reserve could potentially cut the US debt in half. Historically, Bitcoin has grown in value by approximately 55% annually, though she acknowledges that this rate is likely to slow over time. Still, she argues that even with a modest growth rate, Bitcoin could significantly reduce the national debt within 20 years.
Lummis referenced Robert F. Kennedy Jr., who has expressed similar views on using Bitcoin as a financial stabilizer. According to her, if the US were to establish a substantial Bitcoin reserve, it could eventually eliminate the national debt altogether. She sees Bitcoin as the only asset capable of compounding at a rate that could correct years of financial mismanagement.
Legislative Efforts and Growing State-Level Support
This isn’t Lummis’s first push for Bitcoin integration into national policy. Last July, she introduced the BITCOIN Act, a proposal suggesting that the US government should acquire 1 million Bitcoin as part of its long-term financial strategy. Her leadership in the space was further solidified when she became the first chair of the Senate Banking Subcommittee on Digital Assets, positioning herself as a key player in shaping the nation’s crypto policies.
The idea of a Bitcoin reserve is also gaining traction at the state level. Dennis Porter, founder of the Satoshi Action Fund, reported that 15 states have expressed support for the initiative, with 11 already introducing bills to establish state-level Bitcoin reserves. Arizona and Utah have taken the lead, moving their proposals forward in legislative committees.
Public Interest and National Crypto Strategy
Beyond government action, public interest in Bitcoin as a national reserve asset is growing. More than 3,300 letters have been sent to Congress, urging lawmakers to acknowledge Bitcoin’s potential in securing America’s financial future. This movement gained momentum following former President Donald Trump’s executive order for a national digital asset stockpile—although the order did not explicitly mention Bitcoin.
The Road Ahead: A Financial Reset with Bitcoin?
Lummis remains optimistic that a Strategic Bitcoin Reserve could restore financial stability, reduce national debt, and help maintain the US dollar’s dominance as the world’s leading currency. While skeptics question the feasibility of relying on Bitcoin’s volatility, its track record of appreciation and decentralized nature make it an attractive hedge against traditional financial risks.
With state governments, public advocates, and policymakers increasingly supporting Bitcoin’s integration into the national economy, the US may soon face a pivotal decision: embrace Bitcoin as a reserve asset or risk falling behind in the evolving financial landscape.
