U.S. Representative Nick Begich (R-Alaska) and 20 other co-sponsors have introduced the American Reserve Modernization Act (ARMA) to formally create a strategic Bitcoin reserve. According to reports from AMBCrypto, Begich filed H.R. 2032 on March 11, 2025, with referral to the House Committee on Financial Services on the same day. The updated bill authorizes the Treasury to acquire up to 200,000 bitcoins annually over five years, targeting a final reserve of one million bitcoins—approximately 5% of the global Bitcoin supply. The legislation builds on the BITCOIN Act introduced by pro-crypto Senator Cynthia Lummis (R-WY), which proposed the U.S. to hold 1 million BTC, representing 5% of the total BTC supply. The bill text explicitly states that Bitcoin represents a 'digital-age asset capable of enhancing the financial leadership and security of the United States'.
The latest developments show the American Reserve Modernization Act now targets completion by 2030, representing a significant acceleration from the original five-year acquisition timeline. In a FOX Business interview, Begich explained Bitcoin's market position by noting that Bitcoin represents about 60% of all market cap for the entire crypto space. As reported by AMBCrypto, he drew parallels to gold's dominance in precious metals, stating that the market has decided Bitcoin will be the predominant store of value within the crypto asset class. Congressman Pat Harrigan, another co-sponsor, emphasized that gold reserves have anchored U.S. financial security for years, with a strategic Bitcoin reserve reinforcing this for future generations. The proposal's scale, targeting roughly 5% of total Bitcoin supply, would make the U.S. government one of the largest Bitcoin holders globally.
To expand the BTC reserve without deficit spending, Begich proposed using Iran's seized crypto assets alongside other 'budget-neutral' strategies. According to AMBCrypto, the U.S. Treasury will be tasked with managing the reserves with a minimum 20-year holding period. Any future sales will be directed at reducing the national debt. The bill received endorsement from FundStrat's Tom Lee, who drew similarities to his 'Alchemy of 5%' for Ethereum, while Conner Brown from Bitcoin Policy Institute called the bipartisan support from the 21 lawmakers a 'fantastic showing for Bitcoin'. The BITCOIN Act of 2025 arrived five days after a March 6, 2025 White House executive order that established U.S. policy to create a Strategic Bitcoin Reserve and a Digital Asset Stockpile. The bill also creates a separate Digital Asset Reserve to hold other federally owned crypto assets beyond Bitcoin.
The U.S. government currently holds 328,372 BTC, according to BitcoinTreasuries data, worth $25.5 billion. However, approximately 94K BTC is set to be returned to the Bitfinex exchange, as reported by AMBCrypto. At the time of research, Bitcoin traded at approximately $77,619, with the Fear & Greed Index at 29, indicating market-wide fear. If the proposed reserve were to acquire 1,000,000 BTC at that price level, the theoretical cost would exceed $77 billion, though actual acquisition over five years would encounter varying market conditions. The current holdings are primarily seized by law enforcement agencies—including assets recovered from the Silk Road case and the 2022 Bitfinex hack. These bitcoins currently lack a unified strategic management framework, highlighting the urgent need for comprehensive digital asset management.
The bill's introduction coincides with the peak of Washington's pro-crypto legislative wave. On May 13, the Senate Banking Committee approved the Digital Asset Market Structure Clarification Act by a bipartisan vote of 15–9, paving the way for a regulatory framework for the crypto industry. Senator Lummis indicated that the bill could reach a full Senate vote by mid-June, though she acknowledged this timeline may be optimistic. The Treasury Department is intensifying efforts to combat crypto-related illicit financial activities under Operation Economic Fury, having seized nearly $500 million in Iran-linked crypto assets by the end of April. A senior official revealed that major legal hurdles have already been cleared, with the White House signaling that operational details of the Strategic Bitcoin Reserve are imminent.
