Consultant Warren Davidson (R-OH) has launched the Bitcoin for America Act within the U.S. Home of Representatives – a laws designed to modernize the nation’s monetary system and place it on the forefront of the worldwide crypto financial system.

I’m introducing the Bitcoin for America Act to strengthen long-term nationwide monetary resilience and place the U.S. on the forefront of world asset management!

This marks an vital step ahead in embracing the innovation that tens of millions of Individuals use every single day. pic.twitter.com/2JSlaJSVkc

— Rep. Warren Davidson (@Rep_Davidson) November 20, 2025

The landmark invoice goals to permit Individuals to pay taxes in BTC, with all proceeds directed to the U.S. Strategic Bitcoin Reserve (SBR), which was established by President Donald Trump by way of an govt order in March 2025. The initiative is concentrated on enabling residents to voluntarily contribute to the federal bitcoin stockpile.

‘Bitcoin For America Act’ to Permit Tax Funds in BTC, With Proceeds Directed to the U.S. Strategic Bitcoin Reserve and Held for 20 Years

Underneath the proposed invoice, taxpayers would have the ability to settle federal tax obligations in bitcoin by transferring them on to the U.S. Treasury or to designated monetary brokers authorised by the Secretary of the Treasury, Scott Bessent.

The transferred Bitcoin would fulfill tax liabilities, with out incurring any capital positive factors on the transaction. The quantity credited could be decided on the honest market worth of bitcoin on the time of switch, much like how tax funds in overseas forex are at present dealt with.

The invoice additionally empowers the Treasury to determine strong custody measures for the brand new Strategic Bitcoin Reserve, with provisions for chilly storage, multi-signature wallets, and geographically distributed storage amenities. Bitcoin deposited into the reserve could be held for no less than 20 years, with restricted scheduled inclinations allowed solely after that interval.

The Bitcoin for America Act seeks to make sure that the reserve belongings are used as a long-term retailer of worth, preserving them for future generations.

The U.S. Strategic Bitcoin Reserve is funded totally by belongings seized as a part of legal and civil proceedings by varied federal companies, with no incremental value to taxpayers. Trump’s govt order additionally mandates a full audit of the federal government’s bitcoin holdings, prohibits any sale from the reserve, and promotes budget-neutral acquisitions of extra BTC.

Rep. Warren’s Invoice Promotes Bitcoin as an Various Retailer of Worth and Inflationary Hedge for the U.S. Authorities

The laws goals to diversify the U.S. authorities’s portfolio by investing in non-inflationary belongings, offering another retailer of worth to the greenback. Bitcoin’s inherent shortage and inflation-resistant nature place it as a hedge towards long-term devaluation of fiat currencies.

Rep. Warren and the invoice’s proponents argue that it’s centered on decreasing America’s reliance on debt and strengthening the federal authorities’s stability sheet. 

In a latest dialog with the Bitcoin Coverage Institute (BPI), the Republican lawmaker identified that international locations like China and Russia are already accumulating bitcoin in an effort to strengthen their monetary methods. He believes that america may keep its aggressive edge within the digital financial system by including BTC into federal funds.

“Different nations are actively buying Bitcoin to diversify reserves and defend towards world monetary instability. America dangers falling behind except it takes an analogous strategy “

– the laws doc reads.

Warren highlighted the long-term advantages of the invoice, suggesting that if the U.S. authorities had been accumulating bitcoin since 2012, it may have helped handle the rising nationwide debt, which at present stands at $38 trillion. He additionally harassed that the laws is opt-in and democratic, which means that Individuals can voluntarily resolve to contribute to the reserve, and it received’t be a mandate.

The consultant from Ohio claimed that cash was designed as a surveillance system, and bitcoin’s premise is the return of sound cash, the place the management of cash is taken out of the fingers of the federal government.

U.S. Authorities is the Largest Nation-State Holder of Bitcoin, with 326,588 BTC in its Coffers

Based on Arkham Intelligence knowledge, the U.S. authorities holds roughly 326,588 BTC, valued at round $28.9 billion on the present market charge. This makes America the most important nation-state holder of the alpha cryptocurrency.

These cash are held in wallets managed by varied federal companies, together with the Federal Bureau of Investigation (FBI), Inner Income Service (IRS), Drug Enforcement Administration (DEA), the U.S. Marshals Service (USMS), and the Division of Justice (DoJ). 

The USMS is the first federal company chargeable for holding and auctioning seized crypto, because it manages belongings transferred to the federal government from legal and civil forfeitures. The company reportedly holds 28,988 BTC ($2.47 million) as of March 2025.

The Treasury Division is in control of the Strategic Bitcoin Reserve and america Digital Asset Stockpile, which holds different crypto belongings. 

Treasury Secretary Scott Bessent is tasked with administering the reserve to which federal companies should switch their crypto holdings. The DOJ has appointed Anchorage Digital, a federally chartered crypto financial institution, to function the custodian for seized cryptocurrencies, enhancing safe storage and liquidation capabilities.

On the time of writing, Bitcoin (BTC) is buying and selling at $85,219 – down 7.2% in 24 hours.