New strategic bitcoin reserve bill drops 1 million BTC purchase target, adds 20-year lockup period
The bill would require quarterly public proof-of-reserve disclosures and third-party audits of government bitcoin holdings.
A revised strategic bitcoin reserve bill has eliminated the previously proposed 1 million BTC purchase target while introducing a mandatory 20-year lockup period for government bitcoin holdings. The updated legislation would require quarterly public proof-of-reserve disclosures and mandate third-party audits of all government bitcoin positions, according to details reported by The Block.
The original proposal had called for the U.S. government to acquire 1 million bitcoin over a specified timeframe as part of a national strategic reserve. The removal of this concrete purchase target represents a significant shift in the legislative approach, potentially making the bill more palatable to lawmakers concerned about committing to specific acquisition amounts amid bitcoin's price volatility.
The addition of transparency requirements through quarterly disclosures and independent audits addresses concerns about government accountability in managing digital assets. The 20-year lockup provision suggests lawmakers view bitcoin as a long-term strategic asset rather than a short-term investment vehicle. These changes could influence how other nations approach their own bitcoin reserve policies and may impact institutional adoption patterns as governments establish clearer frameworks for digital asset holdings.
The revised bill's progression through Congress will be closely monitored by crypto markets, as passage could signal broader government acceptance of bitcoin as a reserve asset and potentially influence other countries to develop similar strategic frameworks.
Source: The Block
