US Government's 198,000 Bitcoin Reserve Faces Lockdown
The Strategic Bitcoin Reserve is making headlines as the House Financial Services Committee marks up H.R. 8957, but the legislation's impact on Bitcoin is being misunderstood.
The bill, known as the American Reserve Modernization Act of 2026, would lock the government's existing 198,000 Bitcoin in the reserve for at least 20 years, with no sales or trades during that period.
This means a future president could not undo the reserve simply by signing an executive order. The bill also requires quarterly proof-of-reserve reports from independent third-party auditors to verify the government's Bitcoin holdings.
The reserve was created in 2025 through Executive Order 14233, which brought seized Bitcoin under Treasury management and directed the government to stop selling those holdings. However, a separate piece of legislation would be needed for new purchases.