Military Brass Backs Bitcoin: Senator Lummis Drops Bombshell About Strategic Crypto Reserves

Washington’s power players are flipping bullish—senior Pentagon officials reportedly see Bitcoin as a national security asset, according to Wyoming Senator Cynthia Lummis.

Forget gold bars in Fort Knox—the new hedge might live on a blockchain. Though good luck getting generals to explain UTXO consolidation between missile briefings.

Wall Street analysts remain skeptical—after all, the last ’strategic reserve’ they championed was their own bonus pools during the 2022 crash.

Bitcoin reserve bill

Lummis and five other Republican senators reintroduced legislation toon March 11.

The MOVE followed President Donald Trump’sto establish a strategic Bitcoin reserve and a digital asset stockpile on March 7.

Lummis framed Bitcoin reserves as an extension of US energy policy and industrial capacity. She credited China’s 2021 mining ban for driving the hash rate to North America and cited Trump’s recent call to “make Bitcoin mining and America conjoined.” 

She argued that pairing domestic mining with federal accumulation WOULD give Washington a “geopolitical advantage.”

The Wyoming Republican drew a parallel with Fort Knox, noting that the US holds roughly 5% of the global Gold supply and should target the same share of Bitcoin.

Sovereign and state-level demand

Lummis highlighted state-level momentum regarding Bitcoin reserves, using them as an example to follow for the federal government.

Arizona and New Hampshire enacted strategic reserve legislation this year, and lawmakers in 30 additional states debated similar bills. Although many states have given up on plans to adopt Bitcoin for now, roughly 11 states are still debating legislation, with Texas being the farthest along.

She described the states as “incubators of innovation” and predicted their actions would pressure Congress and the Treasury Department to follow.

Furthermore, Lummis said global demand supports the case for federal reserves. She pointed to the UAE, where the Abu Dhabi sovereign wealth fund, Mubadala, recentlythrough US-based exchange-traded funds.

The senator also highlighted the Czech National Bank. She said:

Lummis urged federal officials to treat Bitcoin as “digital gold” rather than a speculative instrument and to formalize reserve guidelines before other nations lock up larger shares of the fixed 21 million-coin supply.

The senator closed by asserting that energy-intensive proof-of-work mining and a strategic reserve would reinforce US leadership in both monetary and industrial domains. She added that state initiatives have now outlined a clear path that the federal government can adopt and scale.