U.S. Senator Cynthia Lummis reintroduced BITCOIN Act to Congress, aiming to establish a national Bitcoin reserve.

The new bill, officially named the Boosting Innovation, Technology, and Competitiveness through Optimized Investment Nationwide (BITCOIN) Act of 2025

U.S. Senator Cynthia Lummis has reignited her bid to establish a national Bitcoin reserve with the reintroduction of the Boosting Innovation, Technology, and Competitiveness through Optimized Investment Nationwide (BITCOIN) Act of 2025.

This new version of the bill, which was originally unveiled in July, now allows the U.S. government to accumulate more than one million Bitcoin (BTC) in total.

The updated legislation provides additional legal avenues for the government to acquire Bitcoin beyond direct purchasing. It specifies that the government can acquire Bitcoin through lawful means, such as:

* Seizures arising from criminal or civil cases

* Donations made to the United States

* Transfers from other federal agencies

Furthermore, the revised law invites individual U.S. states to voluntarily place their Bitcoin holdings into the national reserve.

Each state that decides to contribute will store its Bitcoin separately, ensuring transparency and accountability in the management of these assets.

Highlighting the significance of transforming recent executive actions into long-lasting law, Senator Lummis stated during a conference hosted by The Bitcoin Policy Institute on March 11:

“By transforming the president’s visionary executive action into enduring law, we can ensure that our nation will harness the full potential of digital innovation to address our national debt while maintaining our competitive edge in the global economy.”

Prominent Republicans Join as Co-Sponsors of BITCOIN Act

The updated version of the BITCOIN Act has secured the support of several Republican senators, who joined as co-sponsors.

These senators include Jim Justice, Tommy Tuberville, Roger Marshall, Marsha Blackburn, and Bernie Moreno.

Expressing his support for the legislation and discussing its potential economic benefits, Senator Jim Justice stated:

“I’m proud to join Senator Lummis on this common-sense bill to create a strategic Bitcoin reserve and codify President Trump’s executive order. This bill represents America’s continued leadership in financial innovation, bolsters our economic security, and gives us an opportunity to wrangle in our soaring national debt.”

New Rules Set for Handling Forked and Airdropped Bitcoin Assets

The updated BITCOIN Act also sets forth specific procedures for managing Bitcoin-related assets created by blockchain forks and airdrops.

A blockchain “fork” occurs when the Bitcoin network splits into two separate paths, typically leading to the creation of new cryptocurrencies. Examples include Bitcoin Cash (BCH) in August 2017 and Bitcoin Gold (BTG) in October 2017.

The original bill mandated that all forked assets received by the government remain untouched for five years unless otherwise authorized by law. However, the revised bill instructs the Secretary of the Treasury to formally evaluate these assets after the five-year holding period.

The government will then retain the most valuable assets based on market capitalization, effectively preserving the dominant asset and potentially disposing of less valuable cryptocurrencies.

Senator Lummis’s reintroduction of the new BITCOIN Act follows President Donald Trump’s recent executive order.

Trump signed this order to establish a “Strategic Bitcoin Reserve” and a “Digital Asset Stockpile.” Initially, the Strategic Bitcoin Reserve will receive cryptocurrencies forfeited by the government through criminal and civil proceedings.

Unlike tokens in the Digital Asset Stockpile, which the government may sell, the Bitcoin Reserve will hold its Bitcoin permanently.

Additionally, the reserve will grow through budget-neutral methods rather than direct spending.