Senator Lummis Claims Bitcoin Could Solve USA’s Debt Crisis

In a recent interview with FOX Business, Senator Cynthia Lummis shared her plan to use Bitcoin to reduce the U.S. national debt. Lummis believes that Bitcoin, known for its long-term value, should be added to the country’s reserves alongside assets like gold and oil.

Let’s explore this plan in detail below.

Is Bitcoin the Smartest Investment for USA?

Lummis suggested that the U.S. government should acquire about 200,000 Bitcoin over the next 20 years, with a goal of building up to 1 million BTC. She argued that this Bitcoin reserve could play a key role in reducing the nation’s debt.

At a time when the government is focused on cutting spending, Lummis emphasized that her plan would not require any new taxpayer money. Instead, she proposed using existing gold reserves, specifically the gold certificates held by Federal Reserve Banks, to fund the Bitcoin purchase.

A Reserve Strategy That Costs Nothing

Lummis pointed out that the U.S. is already in a strong position to implement her plan. The government currently holds over 200,000 Bitcoin through asset forfeiture funds, meaning it could start building a Bitcoin reserve without any additional cost. For herself, Lummis holds five BTC, managed through a blind trust.

She also highlighted that it’s very important to protect Bitcoin and people who hold their Bitcoins in individual wallets.

“We don’t want to see this asset become owned only by governments and certainly don’t want to see it controlled by governments because its great virtue is as a freedom money,”

A Pro-Bitcoin Cabinet In the Making?

Lummis praised former President Trump for recognizing the importance of Bitcoin, noting that he had identified it as an asset that the U.S. should support. She expressed concern, however, that current regulatory actions—such as penalties and lawsuits—have pushed the crypto industry to other countries, including the European Union.

Looking ahead, Lummis mentioned that President-elect Trump seems to be building a pro-Bitcoin cabinet, which could shift U.S. policy in favor of cryptocurrency.

Lummis’s proposal has stirred significant debate among policymakers and market experts, with many questioning its practicality and long-term effects.