Author: Sharon Jun; Source: Internet Analysis Salon

Some time ago, U.S. Senator Cynthia Lummis proposed a bill related to Bitcoin called the "Bitcoin Act of 2024," which caused a stir.

The core of the bill is to propose selling part of the U.S. gold reserves to purchase 100 Thousands of Bitcoins.

At current prices, this would cost about $90 billion.

Loomis believes that Bitcoin is a better asset for the United States than gold because it is decentralized , and supply is limited.

She said: "We already have various financial assets based on gold that can be exchanged for Bitcoin."

It is understood that the "Bitcoin Act of 2024" also allows U.S. states to store Bitcoin separately.

The proposal has received more attention due to President Donald Trump’s support for cryptocurrencies focus on. Trump has shown interest in establishing a Bitcoin reserve, and his idea could help push the bill forward.

If the plan is approved, it is likely to lead to wider acceptance of Bitcoin as a financial asset and trigger others to follow.

Just as the "Bitcoin Act of 2024" was proposed, a Pennsylvania lawmaker also proposed a Bitcoin reserve bill.

It is reported that Republican Representative Mike Cabell has proposed a new bill called the "Pennsylvania Bitcoin Strategic Reserve Act."

The bill would allow Pennsylvania to allocate 10% of the state's general fund, emergency fund and state investment fund to Bitcoin.

Top trends worth watching , Pennsylvania has previously passed the Bitcoin Bill of Rights, which ensures residents’ rights to self-custody of digital assets

With discussions in other states. Moving forward, Pennsylvania may soon be among the first to incorporate digital assets into state economic strategies

If the bill passes, Pennsylvania will set an important precedent by becoming the first state in the United States to directly hold Bitcoin and provide a unique way to do so. , to fight inflation and achieve investment diversification

While the "Bitcoin Act of 2024" has received widespread attention from the outside world, it has also caused huge controversy. In addition to the goal of reserve 1 million Bitcoins in 5 years, it also lists a mechanism to pay the reserve. .

In brief, the main points are the following two points:

1. The Federal Reserve returns to Any surplus from the Treasury will be used to purchase Bitcoin.

2. The bill also proposes that the Federal Reserve Bank mark all gold certificates to the current gold market price and then remit the difference to the Treasury to purchase Bitcoin.

The bill believes that one million Bitcoins will diversify the United States' assets and increase financial and monetary resilience.

In this regard, critics from Wall Street believe:

On the one hand, Bitcoin cannot serve as the currency of the United States. The strategic reserve referred to in the bill is to a certain extent only a sovereign wealth fund, and the Treasury Department has the right to repay the sovereign debt of the United States.

2. Bitcoin reserves only serve one strategy. The Treasury Department with one million Bitcoins will be trapped in its own investment portfolio.

The U.S. Congress could never exercise monetary sovereignty by restricting Bitcoin mining or trading because the price of the Treasury’s own assets would immediately collapse. A strategic Bitcoin reserve is not a U.S. resiliency strategy, it’s just for cryptocurrency holders elasticityStrategy.

In the final analysis, opponents believe that Bitcoin is not a currency and monetary sovereignty cannot be in the hands of the United States.