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While the Bitcoin price is hovering just below the old all-time high of December 17, US Senator Cynthia Lummis and Eric Trump reportedly convened at the Capitol yesterday to discuss the notion of creating an American Strategic Bitcoin Reserve (SBR). Bloomberg’s Steven Dennis broke the news, while Swan, a crypto-focused platform, spotlighted Eric Trump’s now-deleted retweet about the meeting.
Almost as soon as Eric Trump retweeted Swan’s post referencing talks with Senator Lummis on the SBR, he pulled it down without explanation. “What’s brewing behind the scenes?” Swan queried in a subsequent tweet, suggesting the swift deletion could indicate high-level caution, possibly to avoid front-running an official announcement.
DEVELOPING: Eric Trump RT’d @Swan’s post about his meeting with Senator Lummis on the American Strategic #Bitcoin Reserve—then quickly deleted it.
What’s brewing behind the scenes? 🤔 pic.twitter.com/E7nqbieNIQ
— Swan (@Swan) January 22, 2025
This latest buzz follows Senator Lummis’ unveiling of The Bitcoin Act of 2024 last year, a legislative proposal to formally establish a US strategic Bitcoin reserve. Known officially as the Boosting Innovation, Technology, and Competitiveness through Optimized Investment Nationwide (BITCOIN) Act, the bill outlines a plan for the U.S. Treasury to acquire 1 million BTC over five years, funded by reallocating existing resources within the Federal Reserve System and the Treasury Department.
While details remain scarce regarding the progress of the legislation, sources indicate Lummis’ office is working diligently to navigate the political and logistical complexities involved. Notably, Senator Lummis also met with former President Donald Trump over the weekend. Senator John Barrasso revealed via X: “Senator Lummis and I had a great time talking with President Donald Trump this morning. Wyoming is ready for Inauguration Day tomorrow!”
Bitcoin Reserve Rumors Intensify With Ulbricht Pardon
The notion of an SBR has gained renewed momentum following yesterday’s pardon of Ross Ulbricht by President Trump. Analysts note that during the 2024 conference, Trump had floated the idea of transferring BTC seized by law enforcement into a national stockpile. Now, with the pardon promise fulfilled, many in the community are wondering if the SBR plan could be next on the administration’s agenda.
On prediction platform Polymarket, the odds of an imminent SBR soared from 28% to 44% after news of the pardon broke. Those odds had once reached as high as 59% around Inauguration Day. As of late, they had dipped back to around 28%—only to bounce upward again following Ulbricht’s release.
Crypto analyst known as Byzantine General voiced optimism, posting on X: “The fact that he kept his promise with Ross is a good sign IMO that he’s going to follow through with supporting crypto.”
David Bailey, CEO of BTC Inc who was instrumental in turning Trump pro-BTC, added to the speculation, remarking: “Tonight is about Ross but I’ll share this since I’m getting a ton of questions: I’m still expecting dedicated bitcoin+crypto EOs in coming days. I don’t know what they say or exactly when they drop. I also fully expect the President to deliver on the SBR in his first 100 days.”
Anthony Pompliano, Founder & CEO of Professional Capital Management, posted a similarly confident take: “If Ross Ulbricht got the pardon, we are definitely getting the Strategic Bitcoin Reserve. Trump will create history with the stroke of his pen.”
In a separate discussion at the World Economic Forum, Coinbase CEO Brian Armstrong was asked about President Trump’s stance on establishing a US Bitcoin reserve. Armstrong said:
“Well, I didn’t talk to him about that specifically, but I think he is excited about it. I mean, he really wants to be the first Bitcoin president. Cynthia Lummis in the Senate is actually, I think, the one driving this legislation around a strategic Bitcoin reserve. And I think it’s a good idea. The US actually has reserves in lots of things, gold, oil, I think like 27 different rare minerals like palladium and all these things. And so, you know, I think the world is moving to a Bitcoin standard for money. They absolutely should hold. Any government who holds gold should also hold Bitcoin as a reserve.”
At press time, BTC traded at $105,382.
