Members of the American House of Representatives, Nick Begich and Jared Golden, introduced the American Reserve Modernization Act (ARMA), which aims to create both a Strategic Bitcoin Reserve and a Digital Asset Stock in the US Treasury Department. Accordingly, bitcoins held by federal institutions cannot be sold for at least 20 years, and the Treasury will have the authority to collect a total of 1 million bitcoins, a maximum of 200,000 BTC per year, within five years. This total corresponds to approximately 5 percent of the worldwide bitcoin supply.
What ARMA brings and its main goal
ARMA, an expanded version of the BITCOIN Act that Begich previously initiated, aims to turn the executive order signed by President Donald Trump in March 2025, which can be reversed through short-term executive orders, into permanent federal law. Among the bill’s 18 original supporters, only one is a Democrat, while the others are from the Republican Party. Jared Golden stands out as the only name coming from the Democratic wing.
The first thing that stands out in ARMA is that all bitcoins obtained are locked in reserve for at least 20 years. This application also includes approximately 328,000 BTC currently held by the American government. The current equivalent of these assets is approximately 25.5 billion dollars, making the USA the largest owner of bitcoin among states.
Begich highlighted the position of bitcoin by saying, “Just as gold is dominant among precious metal reserves, bitcoin accounts for approximately 60 percent of the total value of the crypto market.” Golden said, “The United States is already one of the largest holders of bitcoin in the world, but Congress has never created a policy on what to do with this asset.”
Mini glossary: Strategic Bitcoin Reserve is the country’s crypto asset reserve that the US Treasury Department will hold on behalf of the government and is included in the long-term custody plan. The aim is to manage the reserve in a long-term and planned manner, as in gold reserves, without being exposed to sudden sales or political change.
According to the bill, the income from the sale of bitcoin can only be used to reduce the national debt. In addition, the aim is not for the state to purchase from new sources, but to expand the reserve by valuing or restructuring existing reserve assets.
Bitcoin Policy Institute evaluated this bill as a positive step towards professionalizing the state’s digital asset storage process.
White House’s retention process and risks
In order for ARMA to become law, it must be discussed in the committees of the House of Representatives, voted on and then approved by the president. In parallel with this process, the legal and technical infrastructure for storing digital assets is also being developed in the White House. Patrick Witt, director of the Council of Presidential Advisers on Digital Assets, points out that the current executive order can be easily revoked and points to the need for legal regulation.
According to Witt’s statements, various digital wallets are stored irregularly at federal agencies, cold wallets can sometimes be found in desk drawers, and there have been abuses of responsibility of the U.S. Marshal Service in the past. These risks are intended to be prevented with the planned new storage framework.
In addition, cryptocurrencies obtained from ongoing legal cases cannot be transferred until the court decision. In other words, crypto assets whose judicial proceedings have not yet been completed are kept in process, such as returning them to the victims or transferring them to the Treasury.
Market impact and international comparisons
During the week, bitcoin fluctuated in a range of approximately $77,200 to $78,100. According to the data reflected on CryptoAppsy screens, the bitcoin price was recorded as $ 77,447 in New York on Friday morning. This marks a significant decline from the above-$99,000 levels seen late last year.
| Country | BTC Amount | Policy |
|---|---|---|
| USA | 328,000 | Strategic reserve proposal with ARMA |
| Chinese | 190,000 | No official policy |
| United Kingdom | 61,000 | No official policy |
| El Salvador | 6,174 | In the state portfolio |
The bill did not have a significant impact on the market. While the FED’s tight monetary policy remained the focus of the markets, it was observed that the news about the Bitcoin reserve was not effective in short-term pricing. ARMA will still require a Senate-equivalent bill, committee approval and the president’s signature before it can go into effect.
The fact that the USA has the largest legal reserve among states with approximately 328 thousand bitcoins highlights the country’s efforts to legislate bitcoin as a reserve asset, similar to gold and oil. If ARMA comes into play or the storage system run by the White House is completed, the USA will have made the first official move in this field.
