Cynthia Lummis: The United States will buy 1 million BTC in 5 years, and the funds for the purchase will be allocated from the Fed and the Treasury budget
Bitcoin 2025 was grandly held on 5/27 in Las Vegas. US crypto-friendly legislator Cynthia Lummis publicly stated at the conference that President Trump strongly supports the Bitcoin Act, and plans to buy 100 BTC within 5 years. She also revealed that the White House team is currently pushing forward major bills including stablecoins, digital asset market structure, and Bitcoin strategic reserves. These bills are expected to be released in the coming weeks and will become a focus of global crypto policy observation.
At the Bitcoin 2025 conference on 5/27 in Las Vegas, crypto-friendly legislator Cynthia Lummis announced that she will again promote the Bitcoin Act, emphasizing that President Trump will fully support the bill.
She also revealed two key points of the Bitcoin Act:
1. The US government plans to purchase nearly 100 million BTC within the next 5 years
2. Lummis guarantees that this expense will be allocated from the existing budget of the Federal Reserve and Treasury, without increasing taxpayer burden.
Lummis further revealed that the White House already has a professional team drafting three major digital asset bills:
1. Stablecoin Legislation
2. Market Structure Bill
3. Bitcoin Strategic Reserve
She previewed that these bills will be rolled out in this order. Currently, the fastest progressing bill is the Stablecoin Bill 'GENIUS Act' submitted to the Senate Banking Committee.
According to CoinGecko data, mainstream stablecoins USDT and USDC currently have a total market value of $214.1 billion, pegged to the US dollar and US Treasury, further strengthening the US dollar's position as a global settlement currency.
In summary, the US is releasing a series of policy directions to enhance the dollar's strategic advantages in the global market through Bitcoin strategic reserves and compliant stablecoin legislation.
Regarding El Salvador, although they reached a $3.5 billion loan agreement with the IMF in March with the condition of "not buying more Bitcoin", President Nayib Bukele continues to accumulate BTC, openly stating "We won't stop." Interestingly, the IMF has not expressed dissatisfaction and even praised El Salvador's "good performance", maintaining peaceful relations. El Salvador currently holds 6,190 BTC.Toggle
Key Points
IMF Clearly States That El Salvador Cannot Further Increase BTC Holdings
President Bukele Responds: "Continue Buying," with BTC Holdings Now at 6,190 Coins
Both Parties Signed a $3.5 Billion Loan Agreement This March, with One Condition Being a Ban on Government BTC Purchases
Seemingly Violating the Agreement, IMF Praises El Salvador's Performance and Thanks for Cooperation
Despite Negotiating Loan Agreement with IMF, Continues to Buy Cryptocurrency
March 2025: El Salvador Reaches Loan Agreement with IMF
El Salvador Successfully Negotiated a $3.5 Billion Loan Agreement with Conditions:
BTC No Longer Legal Tender: Merchants Can Refuse
Government Departments Cannot Actively Increase BTC Holdings
IMF Stated Concerns About BTC Market Volatility Affecting El Salvador's Fiscal Stability.
March 4, 2025: President Bukele Calls to Continue Buying
On the Same Day IMF Announced Conditions, President Bukele Tweeted (X):
"When the Whole World and Bitcoin Community Abandoned Us, We Didn't Stop, So We Won't Stop Now, and We Won't Stop in the Future!"
At That Time, El Salvador Government Held 6,101.18 BTC.
May 2025: Increased Cryptocurrency Holdings, IMF Turns a Blind Eye and Praises Instead
According to El Salvador's Official Twitter, Current BTC Holdings Have Reached 6,190.18 Coins, Worth Approximately $672 Million, Clearly Violating the IMF Agreement.
However, IMF Did Not Express Dissatisfaction, But Instead Stated:
"Project Execution is Proceeding Very Well, Thank You to the El Salvador Government for Cooperation."
IMF Seems Unable to Control El Salvador, Both Parties Maintain Peace
In Summary, Although IMF Tried to Limit El Salvador's BTC Increase Through Agreement Conditions, President Bukele Continues to Ignore and Purchase. Surprisingly, IMF Glossed Over with "Performing Well" and "Cooperative," Indicating Limited Practical Supervision, Yet Both Parties Maintain Peace.
Disclaimer: The content above is only the author's opinion which does not represent any position of Followin, and is not intended as, and shall not be understood or construed as, investment advice from Followin.
