Senator calls on US Congress to allow Fed to hold Bitcoin
Senator Cynthia Lummis is calling on the US Congress to allow the Federal Reserve (FED) to hold Bitcoin as part of its strategic reserve. She proposed a bold plan: the US government should buy 200,000 Bitcoins every year for five years, a total of 1 million Bitcoins, and hold them for at least 20 years. The goal is to strengthen the position of the US dollar and deal with the national debt. However, Fed Chairman Jerome Powell has stated that the Fed is not currently allowed to own Bitcoin and is not seeking a change in the law. He said that this legal issue needs to be considered by the National Assembly. The Fed's failure to support this plan could cause strong opposition. Ms. Lummis's proposal also includes selling a portion of the Fed's gold reserves to fund Bitcoin purchases. President-elect Donald Trump also supports the establishment of a strategic Bitcoin reserve, but the plan still faces many challenges. Many other states in the US are also considering including Bitcoin in their strategic reserves.
