The post Senator Lummis Advocates for Strategic Bitcoin Reserve to Potentially Mitigate US National Debt Challenges appeared on BitcoinEthereumNews.com.

Senator Lummis argues a Strategic Bitcoin Reserve could cut US debt in half and strengthen the dollar’s global status. Despite declining growth rates, Bitcoin’s appreciation could significantly offset national debt over two decades. 15 states have endorsed the idea, and 13 states have introduced bills to establish a Strategic Bitcoin Reserve. Senator Cynthia Lummis advocates for a Strategic Bitcoin Reserve, citing its potential to drastically reduce national debt and enhance the dollar’s status globally. Senator Lummis’ Bitcoin Reserve Push In a recent interview, Lummis explained that a Strategic Bitcoin Reserve could cut the current debt in half. In 2025, the US national debt is projected to surpass $36 trillion. Lummis suggested the US could leverage Bitcoin’s appreciation to support the US dollar as the world’s reserve currency. She considers it crucial for maintaining economic stability and favorable trade advantages. “It ensures that the US dollar is the most accepted currency worldwide, and then with Bitcoin underpinning it and being also a global means of exchange and store of value, gives us that double support for the US dollar,” Lummis said. In addition, she referenced Bitcoin’s historical annual growth rate of approximately 55%. However, she acknowledged that this rate will gradually decline. According to Lummis, it could decrease to 45%, 35%, 25%, and so on over the next two decades. Despite a declining growth curve, the Senator believes a $1 million Bitcoin reserve today could be worth roughly half of the US national debt in 20 years. She also noted that Robert F. Kennedy Jr. used a similar model. Therefore, Lummis projected that a larger reserve could potentially eliminate the entire debt. “I look at a Strategic Bitcoin Reserve and its ability to grow and help me right the wrongs that my generation did by driving us into this terrible debt.…

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Filed under: News - @ February 3, 2025 6:20 am