Republican Senator proposed to buy more Bitcoin by selling The Fed’s gold

U.S. Senator Cynthia Lummis has proposed creating a Bitcoin national strategic reserve by selling some of the Federal Reserve’s gold instead of buying it from the government budget.

Republican Senator Cynthia Lummis plans to make President-elect Donald Trump’s master plan for Bitcoin a reality. Lummis noted in an interview with Bloomberg that some of the Federal Reserve’s gold could be sold to buy more Bitcoin instead of buying it from the federal government budget.

“We already have financial assets in the form of gold certificates that will be converted into Bitcoin,” Lummis said.

Following his bill, the largest cryptocurrency by market cap will be held for at least two decades. The increase in value will help reduce the national debt, which is estimated at approximately $36 trillion.

However, the Trump administration also aims to maintain ownership of 200,000 Bitcoins. For the most part, all cryptocurrencies owned by the US government are assets seized in various lawsuits.

On Polymarket, the world’s largest prediction market, the crypto community does not trust Trump’s plan as polling shows only a 30% chance.

However, the US Congress has seen a large number of pro-crypto legislators win seats, indicating that the crypto bill could easily be passed in the future.

Trump promises the Bitcoin community

President-elect Donald Trump had promised the crypto community to create a Bitcoin strategic national reserve at the recent conference in Nashville. He also stated that the United States would be the crypto capital of the world when he took the oath of office in mid-January.

Trump also stated that he would fire Securities and Exchange Commission (SEC) Chairman Gary Gensler on his first day in office. Then he will nominate another person as president who is more sensitive to digital assets

He also promised the crypto community to pardon Silk Road founder Ross Ulbricht, who spent 40 years in prison without the possibility of parole.

Price action is up almost 12% over the last 7 days and traded at $89,632 on November 18. The world’s largest cryptocurrency also reached new all-time high prices of $93,477 on November 13. It rose to 1.7 trillion dollars.

1-Day BTC price chart, 2 August – 18 November 2024 | Source: crypto.news

Following Trump’s victory in the US elections on November 5, the crypto market’s confidence in better regulation and mass adoption has increased.