In brief:
₿- Senator Cynthia Lummis confirmed that funding for the U.S. Strategic Bitcoin Reserve could begin anytime, signalling progress toward establishing a national Bitcoin reserve.
₿- Lummis is also pushing to eliminate taxes on small Bitcoin transactions, aiming to make Bitcoin easier to use for everyday purchases and boost mainstream crypto adoption.
U.S. Senator Cynthia Lummis, one of Bitcoin’s strongest allies in Washington, has confirmed that funding for the U.S. Strategic Bitcoin Reserve (SBR) could start “anytime,” even as she works to eliminate taxes on small Bitcoin transactions. Her efforts mark a pivotal moment for crypto regulation in the United States, potentially reshaping both the country’s fiscal strategy and everyday Bitcoin use.
Strategic Bitcoin Reserve may launch soon
In a post on X, Lummis said the acquisition of funds for the Strategic Bitcoin Reserve can “start anytime,” crediting President Trump’s support for accelerating progress. She admitted that the legislative process remains a “slog,” but her remarks sparked speculation that the Treasury Department could begin preparations before Congress finalizes the necessary laws.
The SBR was first introduced through an executive order signed by Trump seven months ago. While the framework remains under development, the government plans to initially capitalise the reserve using Bitcoin seized in criminal and civil proceedings. Additional funds would then be raised through “budget-neutral avenues” that impose no extra costs on taxpayers.
Analysts say the idea behind the Bitcoin Reserve is to strengthen national wealth by diversifying away from traditional assets such as gold. Advocates like ProCap BTC CIO Jeff Park argue that leveraging the government’s paper gains from gold- estimated at $1 trillion- into Bitcoin could significantly help offset the U.S.’s $37.8 trillion fiscal debt.
Lummis aims to make Bitcoin spending easier
Alongside the SBR initiative, Lummis is introducing legislation to remove capital gains taxes on small Bitcoin transactions, addressing one of the biggest barriers to crypto adoption. Currently, the IRS treats Bitcoin as property, meaning every purchase, no matter how small, can trigger a taxable event.
Her proposal would exempt small payments, such as buying a coffee with Bitcoin, from complex reporting requirements. Supporters believe this move could normalise Bitcoin as a real currency instead of just a speculative investment. Critics, however, say the plan unfairly favors Bitcoin over other cryptocurrencies like Litecoin and Dogecoin.
A new chapter for U.S. crypto policy
Lummis’s initiatives signal that Washington’s stance on digital assets may be shifting toward adoption rather than restriction. If both measures succeed, the U.S. could become the first major economy to integrate Bitcoin into its national reserves while encouraging everyday crypto use- a move that might reshape global monetary dynamics.
Stay informed,
Rodcas Consulting Group