From Executive Order to Codified Law: The U.S. Accelerates Establishing a Bitcoin Reserve, Aiming to Stockpile 1 Million Coins.

Written by: Micah Zimmerman

Translated by: AididiaoJP, Foresight News

U.S. Congressman Nick Begich (Republican - Alaska) officially introduced the American Reserve Modernization Act (ARMA) on May 21, aiming to transform the strategic Bitcoin reserve executive order signed by President Trump in March 2025 into a codified law with long-term legal effect, providing a solid foundation for the U.S. to establish a permanent strategic Bitcoin reserve.

The bill has garnered bipartisan support, with more than a dozen congressional members co-sponsoring it. It will be managed by the Treasury Department, which will also establish a separate digital asset reserve for other federally held cryptocurrencies aside from Bitcoin. Begich directly compares Bitcoin to gold, believing that the market has clearly identified both as the dominant store of value in their respective asset classes.

In an interview with Fox Business, he stated, "Look at gold, it is the dominant precious metal reserve asset. And Bitcoin accounts for about 60% of the total market value of the entire cryptocurrency market. The market has made its choice; whether it's gold or Bitcoin, both are the primary value storage tools in their asset class."

The ARMA bill is an upgraded version of the previous Bitcoin Act. In March 2025, Begich had previously proposed related legislation alongside Wyoming Senator Cynthia Lummis. The new bill will authorize the Treasury to purchase up to 200,000 Bitcoin each year for five years, with the ultimate goal of accumulating 1 million Bitcoin—approximately 5% of the global Bitcoin supply. All held Bitcoin will be locked for at least 20 years and cannot be sold.

Currently, the U.S. government holds about 328,000 Bitcoin, primarily from law enforcement seizures, including assets recovered from the Silk Road case and the 2022 Bitfinex hacker incident. There is currently a lack of a unified strategic management plan for these Bitcoins.

Co-sponsor and North Carolina Congressman Pat Harrigan emphasized the urgency of this issue: "The U.S. government already holds billions of dollars worth of seized Bitcoin with no coherent management strategy; this situation must change."

The introduction of the bill comes at the peak of a wave of crypto-friendly legislation in Washington. On May 13, the Senate Banking Committee passed the Digital Asset Market Clearing Act with a bipartisan vote of 15:9, paving the way for a regulatory framework for the crypto industry. Senator Lummis stated that this bill could reach a full Senate vote by mid-June, although she also acknowledged that this timeline may be somewhat optimistic.

Meanwhile, the Treasury is ramping up its crackdown on illegal financial activities related to cryptocurrencies. Under "Operation Economic Fury," the U.S. has seized nearly $500 million in Iranian-related crypto assets as of the end of April, further underscoring the need for the government to develop a comprehensive digital asset management strategy.

The White House has also signaled that specific operational details regarding the strategic Bitcoin reserve will soon be officially announced, with a senior official revealing that major legal obstacles have been cleared.