Key Highlights
- U.S. Treasury to report on creating a Bitcoin reserve in 90 days.
- Executive order sets standards for institutional crypto storage.
- Confiscated assets form the initial reserve with future growth planned.
Congress Pushes Bitcoin Reserve Plan Forward
Congressman David Joyce introduced the House Appropriations Bill (HR 5166), which requires the U.S. Treasury Department to prepare a comprehensive report on creating a Bitcoin reserve and managing assets within it. Section 137 of the bill instructs Treasury to submit a report within 90 days detailing:
- Practical possibility of creating such a reserve.
- Potential obstacles.
- Possible impact on the agency’s confiscated cryptocurrency assets.
- Display of crypto assets on the government balance sheet.
- Contractors responsible for storing these assets.
Section 138 mandates that Treasury Secretary Scott Bessent provide House committees with a detailed plan describing the infrastructure for storing the reserve’s assets. This includes security protocols and interagency procedures for transferring funds.
The bill has been approved by the Appropriations Committee and is now before the House plenary session.
Treasury Department Prepares Infrastructure for Crypto Assets
Kurt Watkins, founder of Watkins Legal, told Decrypt that the infrastructure developed by the U.S. Treasury Department will likely set industry standards, guiding institutional custodians on best practices.
The Bitcoin reserve follows an executive order signed on March 7, 2025, by U.S. President Donald Trump, which also established a broader digital asset reserve including other cryptocurrencies. Currently, both reserves consist solely of confiscated assets. An interdepartmental team is tasked with developing a budget-neutral strategy to replenish the reserves.
Earlier, Secretary Bessent clarified that the Treasury does not plan to purchase Bitcoin, a decision that has influenced the asset’s market price.
Source: https://coinpaper.com/10952/congress-advances-bill-for-strategic-bitcoin-reserve-with-seized-funds
