The US Government’s Current Bitcoin Stance
Alex Thorn, chief of research at Galaxy Digital, believes the US government won’t be buying Bitcoin in 2025 but instead will look to the management of the reserves. He also feels there “may be movement within the departments and agencies to consider an expanded Bitcoin reserve policy”.
This position is in contrast to other proposals, such as the Bitcoin Act by Senator Cynthia Lummis from Wyoming, which aims to change government holdings of Bitcoin. Her act, if it passes, would compel the US Treasury to purchase 200,000 BTC each year for five years, building up a reserve of one million Bitcoin that would be held for at least 20 years.
US Government Holds 183,850 BTC
Currently, the US government holds some 183,850 BTC, worth around $17.36 billion. Those are spread across numerous wallet addresses, according to blockchain analytics platform Spot on Chain.
The large stash is indicative of assets seized from criminal probes and auctions. However, there appears to be no plan to further increase this stockpile. If Lummis’ bill passes, the above policy could dramatically change due to formalizing a Bitcoin reserve.
Interest in Bitcoin Reserves Goes Global
While the US government is indecisive, global interest in Bitcoin reserves heats up. The Japanese Prime Minister Shigeru Ishiba has recently shared his doubts on national Bitcoin strategies, stating that there was no understanding of global movements.
Meanwhile, former Binance CEO Changpeng Zhao believes that smaller countries may be among the first to consider Bitcoin reserves. He also adds that large countries, such as China, could also adopt Bitcoin in their strategies over time, but slowly.
US States Consider Bitcoin Reserves
Bitcoin adoption is gaining momentum at the state level in the US. Ohio, Texas, and Pennsylvania have introduced bills to incorporate Bitcoin into their treasury reserves.
Texas Representative Giovanni Capriglione’s Texas Strategic Bitcoin Reserve Act would require holding Bitcoin as a state reserve asset for at least five years. Similarly, Pennsylvania’s proposed legislation would allow the state treasury to allocate up to 10% of its balance sheet in Bitcoin.
Corporate Expansion of Bitcoin Reserves
Corporate interest in Bitcoin is still on the rise:
- MicroStrategy and Metaplanet expanded their positions.
- MARA Holdings just bought 11,774 BTC.
- Riot Platforms is going to sell $500 million in bonds to add to its stash.
All these indicate Bitcoin’s increasing place both in public and private reserves, although there is a big gap between the two.
