Deniz 
Senator Cynthia Lummis of Wyoming said she would propose a measure to direct the U.S. Treasury to buy one million bitcoins—valued roughly $68 billion at current rates—oover a five-year period next week. The action is meant to offset the consequences of dollar debasement, she said.
“Bitcoin is a great store of value. Over the last four years or so it has increased about 55% per year. During the same period, the U.S. dollar has declined in value and we’ve seen increasing inflation,” Sen. Lummis noted rising inflation.
The Senator said, “So it would be of value to have a hard asset that backs the U.S. dollar and that grows in value instead of declining in value.”
Bitcoin Enthusiast
Lummis has been a long-time bitcoin enthusiast, allegedly purchasing her first coins in 2013, and has led front-stage efforts to enact laws tailored specifically for cryptocurrencies. After US President Donald Trump supported the sector this year, cryptocurrencies have become a hot political topic.
Lummis claims the measure would have the U.S. Treasury self-custody the bitcoins across “a variety of geographic locations.” Unless the tokens are sold to “reduce the debt,” Lummis stated that the government will retain those currencies for at least 20 years.
“We know from modeling the numbers and past experience with bitcoin that it is capable of being an absolute game changer for the mess the United States has gotten itself into with its debt and its deficits,” Senator Lummis remarked.
Seizure of Criminal Bitcoins
When asked, Lummis stated the U.S. Treasury should also seize the estimated 210,000 BTC the U.S. Department of Justice and other agencies have, mostly acquired through criminal seizures.
“We have a strategic oil reserve. We hold gold. So the idea of a strategic reserve used specifically to reduce the debt solves so many problems that it almost seems inherently obvious, but it’s nevertheless a big step,” Lummis said.
Sen. Lummis has proposed that the U.S. government purchase bitcoin before now. She discussed the possibility of bitcoin diversifying the Federal Reserve’s balance sheet in 2022. As per her most recent statutory reports, Lummis herself holds BTC valued at nearly $100,000.
Lummis said she is hopeful some crypto-specific legislation could pass this year—like the stablecoin bill she co-wrote with New York Senator Kirsten Gillibrand—but she does not think the bitcoin treasury reserve bill will be given any real thought until following the next elections.
“This is filed as a piece of legislation that people can review this year, developed in-house by my staff; it is not something I see passing this year,” Lummis said.
Legislative Talks
Likewise, Sen. Lummis mentioned she had been in talks with the still-being-developed crypto bill of Michigan Senator Debbie Stabenow. Though hopeful it might help close gaps in the current regulatory framework, she noted, “We’re running out of legislative days before the election.”
Lifelong Republican and Trump supporter Lummis claimed that the 45th president has basically opened the floodgates to the United States by embracing cryptocurrencies.
“President Trump was instrumental in drafting the language in the Republican Party platform. It includes opposing a central bank digital currency in the United States. It’s pro bitcoin mining, and he wants to keep America as the mothership for digital assets,” Senator stated.
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