Bitcoin Bull Run Ahead? Author Demands US Divert Tariff Windfall Into BTC Reserves

Forget gold—it’s time for Uncle Sam to stack sats. A provocative new proposal urges the US government to funnel its tariff surplus directly into Bitcoin reserves. Here’s why it’s either genius or fiscal insanity.

### The Case for a Hard-Money Pivot

With the dollar’s dominance under scrutiny, the author argues Bitcoin’s scarcity makes it the ultimate hedge against fiat debasement. Tariff revenues—often wasted on pork-barrel spending—could instead buy the ultimate insurance policy.

### Wall Street’s Worst Nightmare

Imagine Treasury wallets holding keys to billions in BTC. It’d send shockwaves through traditional finance—and maybe finally force those Goldman Sachs alumni to understand UTXOs.

### The Cynical Kick

Of course, Washington would probably just sell the Bitcoin at the next dip to fund another aircraft carrier. Some things never change.

Author’s proposal for bitcoin reserve

Livingston suggests funneling a portion of the growing surplus from US trade tariffs into secure, multi-signature cold storage bitcoin holdings, which would not be traded, staked, or rehypothecated.

He emphasizes the untapped potential of current surplus revenues:

“As of July, we’ve collected $135.7 billion in customs duties — double last year’s pace. Let me repeat that we’re sitting on a $70 billion surplus from tariffs, and we haven’t even finished the fiscal year. That Surplus is unallocated. It’s not pre-spent. It’s not tied to Medicare, entitlements, or debt service. It’s just floating, waiting, looking for a productive use case.”

Policy context and executive order

The proposal aligns with the current executive order on the US strategic bitcoin reserve, which mandates that further government bitcoin acquisitions must use budget-neutral strategies.

Livingston’s approach WOULD meet this requirement by utilizing surplus funds rather than new spending.

Treasury secretary’s mixed signals

US Treasury Secretary Scott Bessent initially stated that the government would not be purchasing new bitcoin for its reserve.

Bessent later clarified, however, that the government is still “exploring budget-neutral pathways” to increase its bitcoin holdings.

Other suggestions include revaluing the Treasury’s gold, reallocating existing reserve assets, or selling oil from the strategic petroleum reserve to acquire bitcoin.