Donald Trump and Cynthia Lummis Pledge to Establish a National Bitcoin Reserve

With Donald Trump elected as the 47th president of the United States, the prospect of establishing a national Bitcoin reserve is gaining momentum.

Following Donald Trump's victory in the 2024 presidential election, the prospect of establishing a national Bitcoin (BTC) reserve is gaining significant traction. During his upcoming administration, which will officially commence on January 20, Trump has pledged to prioritize BTC in the nation's economic recovery efforts.

Pro-crypto Senator Cynthia Lummis, known for her unwavering support for this initiative, introduced the Strategic Bitcoin Reserve Legislation on July 31. This legislation builds upon discussions held at the 2024 Bitcoin National Conference in Nashville, Tennessee, where both Trump and Lummis highlighted the crucial role of BTC in the US economy.

In a statement outlining her vision for the legislation, Lummis stated, “As families across Wyoming struggle to keep up with soaring inflation rates and our national debt reaches new and unprecedented heights, it is time for us to take bold steps to create a brighter future for generations to come.”

The pro-crypto Senator went on to describe BTC's potential as “transformative,” asserting that becoming the first developed nation to adopt BTC as a savings technology would solidify the US's position as a leader in global financial innovation.

In response to Trump's victory over Kamala Harris, Lummis took to social media on Wednesday to reaffirm her commitment to the idea, posting on X (formerly Twitter), "We are going to build a strategic Bitcoin reserve."

This initiative has garnered enthusiastic support from industry leaders, including Dennis Porter, CEO and co-founder of the Satoshi Action Fund, who stated, “Let's be absolutely clear, the anti-Bitcoin movement died last night. The USA will be the most pro-Bitcoin nation in the world. We will have a Bitcoin Strategic Reserve. We will enshrine a national law to defend Bitcoin Rights."

To provide further context, the proposed legislation aims to establish a strategic BTC reserve that would serve as an additional store of value to bolster the US balance sheet. Key aspects of the plan include the following:

Bipartisan Support Strengthens

Notably, the push for a national BTC reserve is not confined to Republican lawmakers. As previously reported by Bitcoinist, Representative Ro Khanna, a Democrat from California, has also voiced his support for this initiative, urging the Federal Reserve to consider Bitcoin as a legitimate reserve asset.

“We want to make sure that we have the openness to having Bitcoin as part of the Federal Reserve,” Khanna stated in a podcast, highlighting BTC's potential for appreciation and its role in setting new standards in finance.

However, Khanna's advocacy extends beyond mere support, as he has also called on the Democratic National Committee to revise its stance on digital assets, advocating for a “crypto reset” that would include pro-digital asset language in the party platform.

At the time of writing, the leading cryptocurrency is trading at $74,740, having hit a new record high of $75,500 during Wednesday's trading session.