II 

118TH CONGRESS 

2D SESSION S. 4912 

To establish a Strategic Bitcoin Reserve and other programs to ensure the 

transparent management of Bitcoin holdings of the Federal Government, 

to offset costs utilizing certain resources of the Federal Reserve System, 

and for other purposes. 

IN THE SENATE OF THE UNITED STATES 

JULY 31, 2024 

Ms. LUMMIS introduced the following bill; which was read twice and referred 

to the Committee on Banking, Housing, and Urban Affairs 

A BILL 

To establish a Strategic Bitcoin Reserve and other programs 

to ensure the transparent management of Bitcoin holdings of the Federal Government, to offset costs utilizing 

certain resources of the Federal Reserve System, and 

for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Boosting Innovation, 

5 Technology, and Competitiveness through Optimized In6 vestment Nationwide Act of 2024’’ or the ‘‘BITCOIN Act 

7 of 2024’’. 


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1 SEC. 2. FINDINGS. 

2 Congress finds the following: 

3 (1) The global financial landscape is rapidly 

4 evolving, with digital assets playing an increasingly 

5 significant role in the world economy. 

6 (2) Bitcoin has demonstrated resilience, wide7 spread adoption, and served as a medium of ex8 change and a store of value for more than a decade. 

9 (3) Just as gold reserves have historically 

10 served as a cornerstone of national financial secu11 rity, Bitcoin represents a digital-age asset capable of 

12 enhancing the financial leadership and security of 

13 the United States in the 21st century global econ14 omy. 

15 (4) The acquisition and long-term storage of 

16 substantial quantities of Bitcoin by the United 

17 States can strengthen the financial condition of the 

18 United States, providing a hedge against economic 

19 uncertainty and monetary instability. 

20 (5) Bitcoin, as a decentralized and finitely 

21 scarce digital asset, offers unique properties that 

22 complement existing national reserves, strengthening 

23 the position of the United States dollar in the global 

24 financial system. 

25 (6) Diversification of the national assets of the 

26 United States to include Bitcoin can enhance finanVerDate Sep 11 2014 20:45 Aug 29, 2024 Jkt 049200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\S4912.IS S4912

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1 cial resilience and position the United States at the 

2 forefront of global financial innovation. 

3 SEC. 3. DEFINITIONS. 

4 In this Act: 

5 (1) AIRDROP.—The term ‘‘airdrop’’ means a 

6 gratuitous distribution of digital assets to holders of 

7 Bitcoin in a broad, equitable, and non-discretionary 

8 manner. 

9 (2) BITCOIN PURCHASE PROGRAM.—The term 

10 ‘‘Bitcoin Purchase Program’’ means the program es11 tablished under section 5(a). 

12 (3) COLD STORAGE.—The term ‘‘cold storage’’ 

13 means a method of storing private keys required to 

14 transact in Bitcoin, with a nexus to a secure phys15 ical location, protected from unauthorized access and 

16 isolated from any network connections. 

17 (4) FORK.—The term ‘‘fork’’ means a change 

18 to the consensus mechanism of a distributed ledger 

19 that creates a separate ledger, resulting in a new 

20 digital asset that shares a common transaction his21 tory with Bitcoin up to the point of the change. 

22 (5) SECRETARY.—The term ‘‘Secretary’’ means 

23 the Secretary of the Treasury. 

24 (6) STRATEGIC BITCOIN RESERVE.—The term 

25 ‘‘Strategic Bitcoin Reserve’’ means the decentralized 


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1 network of secure Bitcoin storage facilities estab2 lished pursuant to section 4(a). 

3 SEC. 4. ESTABLISHMENT OF STRATEGIC BITCOIN RESERVE. 

4 (a) ESTABLISHMENT.—The Secretary shall establish 

5 a decentralized network of secure Bitcoin storage facilities 

6 distributed across the United States, collectively to be 

7 known as the Strategic Bitcoin Reserve for the cold stor8 age of Government Bitcoin holdings. 

9 (b) PURPOSE.—The Strategic Bitcoin Reserve shall 

10 be used for the generation, safekeeping, and management 

11 of Bitcoin private keys associated with Government 

12 Bitcoin holdings. 

13 (c) OVERSIGHT.—The Secretary shall be responsible 

14 for the ongoing monitoring and auditing of the holdings 

15 of the Strategic Bitcoin Reserve. 

16 (d) DECENTRALIZATION.— 

17 (1) IN GENERAL.—The Secretary shall ensure 

18 that the facilities of the Strategic Bitcoin Reserve 

19 are geographically dispersed throughout the United 

20 States, to minimize the risk of simultaneous com21 promise and to enhance the resilience of the Stra22 tegic Bitcoin Reserve. 

23 (2) LOCATION SELECTION.—The Secretary 

24 shall select the locations for the facilities described 

25 in paragraph (1) based on a comprehensive risk asVerDate Sep 11 2014 20:45 Aug 29, 2024 Jkt 049200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\S4912.IS S4912

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1 sessment, prioritizing geographic diversity, security, 

2 and accessibility. 

3 (e) SECURITY MEASURES.— 

4 (1) IN GENERAL.—The Secretary shall imple5 ment state-of-the-art physical and digital security 

6 measures to protect the Strategic Bitcoin Reserve. 

7 (2) CONSULTATION.—The Secretary shall con8 sult and collaborate with the Secretary of Defense, 

9 the Secretary of Homeland Security, and industry 

10 experts to ensure the highest level of physical and 

11 digital security for the Strategic Bitcoin Reserve. 

12 (f) RETENTION OF FORKS AND AIRDROPS.— 

13 (1) IN GENERAL.—The Secretary shall ensure 

14 that, with respect to Bitcoins controlled by the Stra15 tegic Bitcoin Reserve, all digital assets resulting 

16 from forks of the Bitcoin distributed ledger and dig17 ital assets distributed via airdrops to Bitcoin ad18 dresses are accounted for and reasonably stored in 

19 the Strategic Bitcoin Reserve. 

20 (2) PROHIBITION ON IMMEDIATE SALE.—No 

21 digital asset stored in the Strategic Bitcoin Reserve 

22 that is the result of a fork or airdrop may be sold 

23 or otherwise disposed of during the 5-year period be24 ginning on the date of the fork or airdrop, unless ex25 plicitly authorized by law. 


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1 SEC. 5. BITCOIN PURCHASE PROGRAM. 

2 (a) ESTABLISHMENT.— 

3 (1) IN GENERAL.—The Secretary shall establish 

4 a Bitcoin Purchase Program which shall— 

5 (A) purchase not more than 200,000 

6 Bitcoins per year over a 5-year period, for a 

7 total acquisition of 1,000,000 Bitcoins; 

8 (B) conduct purchases in a transparent 

9 and strategic manner to minimize market dis10 ruption; and 

11 (C) hold Bitcoin acquired under this sec12 tion in trust for the United States, as provided 

13 in this section. 

14 (2) FLEXIBILITY RELATING TO PURCHASES.— 

15 The Secretary shall, by rule, establish a procedure to 

16 adjust the purchase schedule set forth under para17 graph (1), if necessary, based on prevailing market 

18 conditions. 

19 (3) TRANSFER OFFSET.—Any Bitcoin trans20 ferred to the Strategic Bitcoin Reserve under section 

21 7 may offset the purchase requirements under para22 graph (1). 

23 (b) DEPOSIT.—All Bitcoins purchased under the 

24 Bitcoin Purchase Program shall be placed in the Strategic 

25 Bitcoin Reserve. 

26 (c) MINIMUM HOLDING PERIOD.— 


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1 (1) IN GENERAL.—To ensure the long-term sta2 bility and security of the Strategic Bitcoin Reserve, 

3 the Secretary shall hold all Bitcoin acquired through 

4 the Bitcoin Purchase Program for not less than 20 

5 years. 

6 (2) RETENTION OF BITCOIN.—During the min7 imum holding period under paragraph (1), no 

8 Bitcoin held in the Strategic Bitcoin Reserve may be 

9 sold, swapped, auctioned, encumbered, or otherwise 

10 disposed of for any purpose other than retiring out11 standing Federal debt instruments. 

12 (3) RECOMMENDATIONS AFTER HOLDING PE13 RIOD.— 

14 (A) IN GENERAL.—On the date that is 1 

15 year before the end of the minimum holding pe16 riod under paragraph (1), the Secretary shall 

17 submit to Congress recommendations on wheth18 er to continue to voluntarily hold or to allow for 

19 the gradual and controlled release of a portion 

20 of the holdings of the Strategic Bitcoin Reserve. 

21 (B) RECOMMENDATION.—Upon the expira22 tion of the minimum holding period, the Sec23 retary shall not recommend selling more than 

24 10 percent of the assets of the Strategic Bitcoin 

25 Reserve during any 2-year period. 


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1 (d) PUBLIC REPORTS.—Not later than 1 year after 

2 the date of enactment of this Act, and annually thereafter 

3 for a period of 20 years, the Secretary shall publish an 

4 annual public report on the status of the Bitcoin Purchase 

5 Program. 

6 SEC. 6. PROOF OF RESERVE SYSTEM. 

7 To ensure transparency and accountability in the 

8 management of the Strategic Bitcoin Reserve, the Sec9 retary shall establish a quarterly Proof of Reserve system 

10 of public cryptographic attestation under which— 

11 (1) the Secretary shall— 

12 (A) publish quarterly reports on the Stra13 tegic Bitcoin Reserve that include detailed in14 formation on the total holdings, transactions, 

15 and demonstrated control of private keys relat16 ing to the Strategic Bitcoin Reserve, including 

17 a public cryptographic attestation; 

18 (B) make the quarterly reports available to 

19 the public on an official website of the Depart20 ment of Treasury; and 

21 (C) select an independent, third-party 

22 auditor with expertise in cryptographic attesta23 tions to verify the accuracy and integrity of the 

24 quarterly reports; and 


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1 (2) the Comptroller General of the United 

2 States shall, to ensure compliance with this Act, con3 duct regular oversight of— 

4 (A) the Strategic Bitcoin Reserve; 

5 (B) the quarterly reports under paragraph 

6 (1)(A); and 

7 (C) the audits under paragraph (1)(C). 

8 SEC. 7. CONSOLIDATION OF GOVERNMENT BITCOIN HOLD9 INGS. 

10 Beginning on the date of enactment of this Act, any 

11 Bitcoin under the control of any Federal agency, including 

12 the United States Marshal Service, shall— 

13 (1) not be sold, swapped, auctioned, or other14 wise encumbered; and 

15 (2) upon the acquisition of legal title to such 

16 Bitcoin (including after a final, unappealable judg17 ment is entered in a criminal or civil forfeiture ac18 tion in favor of the Federal agency), be transferred 

19 by the head of such Federal agency to the Strategic 

20 Bitcoin Reserve. 

21 SEC. 8. VOLUNTARY STATE PARTICIPATION AND SEG22 REGATED ACCOUNTS. 

23 (a) VOLUNTARY STATE PARTICIPATION.—The Sec24 retary shall establish a program that allows a State to vol25 untarily participate in storing the Bitcoin holdings of the 


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1 State in the Strategic Bitcoin Reserve in a segregated ac2 count. 

3 (b) PARTICIPATION REQUIREMENTS.—A State choos4 ing to participate in the program established under sub5 section (a) shall sign a contractual agreement outlining 

6 the terms and conditions of participation, which shall in7 clude— 

8 (1) the responsibilities of both the State and 

9 the Strategic Bitcoin Reserve in managing and se10 curing the Bitcoin holdings of the State in the seg11 regated account of the State; 

12 (2) a requirement that the State, in coordina13 tion with the Secretary, develop and implement ap14 propriate security protocols and access controls to 

15 ensure the integrity and confidentiality of the seg16 regated account of the State; and 

17 (3) retention of title, and all attendant legal in18 terests, by the State in the Bitcoin held in the seg19 regated account, including title to any digital asset 

20 that is the result of a fork or airdrop relating to 

21 such Bitcoin. 

22 (c) WITHDRAW OR TRANSFER.—Each State partici23 pating in the program established under subsection (a) 

24 shall have the right to withdraw or transfer the contents 

25 of the segregated account of the State within the Strategic 


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1 Bitcoin Reserve, subject to the terms and conditions in 

2 the signed contractual agreement under subsection (b) and 

3 any applicable Federal regulations. 

4 SEC. 9. OFFSETTING THE COST OF THE STRATEGIC 

5 BITCOIN RESERVE. 

6 (a) DISCRETIONARY SURPLUS FUNDS OF FEDERAL

7 RESERVE BANKS.—Section 7(a)(3)(A) of the Federal Re8 serve Act (12 U.S.C. 289(a)(3)(A)) is amended by striking 

9 ‘‘$6,825,000,000’’and inserting ‘‘$2,400,000,000’’. 

10 (b) USE OF REMITTANCES TO TREASURY.— 

11 (1) IN GENERAL.—Notwithstanding the second 

12 subsection (b) of section 7 of the Federal Reserve 

13 Act (12 U.S.C. 290), for fiscal years 2025 through 

14 2029, if the Federal reserve banks remit net earn15 ings to the general fund of the Treasury during that 

16 period, the first $6,000,000,000 of these remittances 

17 (before repayment of any deferred asset) in a fiscal 

18 year shall be utilized by the Secretary for the imple19 mentation of the Bitcoin Purchase Program, pursu20 ant to the purposes set forth under section 5. 

21 (2) EXCEPTION.—Paragraph (1) shall not 

22 apply if the Federal Reserve banks do not remit net 

23 earnings in any given fiscal year during the period 

24 of fiscal years 2025 through 2029. 


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1 (c) FEDERAL RESERVE SYSTEM GOLD CERTIFI2 CATES.—Not later than 180 days after the date of enact3 ment of this Act, the Federal reserve banks shall tender 

4 all outstanding gold certificates in their custody to the 

5 Secretary. Not later than 90 days after the tender of the 

6 last such certificate, the Secretary shall issue new gold 

7 certificates to the Federal reserve banks that reflect the 

8 fair market value price of the gold held against such cer9 tificates by the Treasury, as of the date specified by the 

10 Secretary on each new gold certificate. Upon issue by the 

11 Secretary, each Federal reserve bank that receives a new 

12 gold certificate shall remit the difference in cash value be13 tween the old and new gold certificates to the Secretary 

14 for deposit in the general fund within 90 days. 

15 (d) CONFORMING AMENDMENT.—Section 5117(b) of 

16 title 31, United States Code, is amended by striking ‘‘(for 

17 the purpose of issuing those certificates, of 42 and two18 ninths dollars a fine troy ounce)’’. 

19 SEC. 10. PROTECTION OF PRIVATE PROPERTY RIGHTS. 

20 (a) RULES OF CONSTRUCTION.—Nothing in this Act 

21 shall be construed to— 

22 (1) authorize the Federal Government to seize, 

23 confiscate, or otherwise impair any property right in 

24 the lawfully acquired Bitcoin holdings of any person; 

25 or 


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1 (2) infringe upon the rights of individuals, busi2 nesses, or organizations to purchase, hold, transfer, 

3 or dispose of Bitcoin in accordance with the law. 

4 (b) AFFIRMATION OF RIGHTS.—This Act affirms and 

5 protects the rights of persons to maintain full lawful con6 trol over the Bitcoin and other digital assets of those indi7 viduals, recognizing that the ability to maintain self-cus8 tody of private keys is fundamental to the principles of 

9 financial sovereignty, privacy, and personal liberty in the 

10 digital age. 

Æ 


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