US Senator proposes giving ownership of Bitcoin to the Fed

Senator Cynthia Lummis has just proposed a remarkable plan to expand Bitcoin ownership for the US Federal Reserve (Fed). Ms. Lummis believes that allowing the Fed to buy and own Bitcoin will help strengthen the US dollar's position as a global reserve currency and at the same time help reduce the national debt burden, which has now exceeded 36 thousand billion USD.

In a recent interview, she emphasized the importance of establishing a strategic Bitcoin reserve. She proposed that the US Government should purchase 1 million Bitcoins over five years, with the goal of purchasing 200,000 Bitcoins each year. These Bitcoins will be held for at least 20 years to accumulate value.

Despite support from some sides, this still faces major challenges because current law does not allow the Fed to hold Bitcoin. Fed Chairman Jerome Powell has affirmed that the agency has no intention of changing the current rules for owning this asset, which would require a change from Congress.