- ARMA would establish a US Strategic Bitcoin Reserve and a Digital Asset Stockpile managed by the Treasury Department.
- The bill seeks to acquire up to 1 million Bitcoin over five years through budget-neutral strategies.
- Bitcoin holdings under the reserve must be held for at least 20 years unless sold to reduce the national debt.
- The legislation includes quarterly proof-of-reserve reports and independent third-party audits.
- The bill also affirms the right of individuals to own and self-custody digital assets.
Lawmakers Introduce American Reserve Modernization Act
US lawmakers have renewed efforts to establish a federal Bitcoin reserve policy through the introduction of the American Reserve Modernization Act of 2026 (ARMA), a bipartisan bill sponsored by Representative Nick Begich and backed by 16 members of Congress.
The legislation would create a Strategic Bitcoin Reserve and a Digital Asset Stockpile for other federally held cryptocurrencies. According to the proposal, these assets would be held by the US Treasury Department. ARMA builds on the BITCOIN Act, which was originally introduced in July 2024 and later updated in March 2025.
America’s reserves balance sheet is a critical component of our nation’s insurance policy, bolstering our currency and providing assurance during times of uncertainty. Over time, the prevailing sentiment as to what constitutes a durable store of value can shift, and as such it is… pic.twitter.com/7XfBwAWFGi
— Congressman Nick Begich (@RepNickBegich) May 21, 2026
“ARMA ensures federally held digital assets are consolidated and protected as reserve assets for future generations,” Rep. Nick Begich
The statement came as lawmakers introduced the American Reserve Modernization Act, which would establish a Strategic Bitcoin Reserve and Digital Asset Stockpile under the US Treasury Department.
Explaining the purpose of the bill, Begich stated that America’s reserve assets play a key role in supporting the nation’s financial position and that reserve portfolios should have the flexibility to adapt as perceptions of durable stores of value evolve. Begich also said the legislation would consolidate federally held digital assets across government agencies and preserve them as reserve assets for future generations while protecting them from policy changes by future administrations or Congress.
Proposal Targets Acquisition of 1 Million Bitcoin
Under the proposed framework, the United States would seek to acquire up to 1 million Bitcoin over a five-year period using budget-neutral methods, avoiding the use of taxpayer funds. In an interview on Sunday, Patrick Witt of the President’s Council of Advisors for Digital Assets described ARMA as “Version 2” of the BITCOIN Act and said the White House has spent significant time reviewing the legal implications of establishing a Bitcoin reserve.
Witt said an announcement on the US Strategic Bitcoin Reserve is expected within weeks as the federal government audits and consolidates its cryptocurrency holdings. He also noted that congressional legislation, including Senator Cynthia Lummis’ BITCOIN Act and Representative Nick Begich’s American Reserve Modernization Act (ARMA), would be required to formally codify the reserve structure.
According to the information provided, the United States currently holds 328,372 Bitcoin valued at more than $25.5 billion, making it the largest nation-state holder of Bitcoin. Portions of these holdings have previously been sold through court-ordered actions.
Representative Jared Golden, one of the bill’s 16 co-sponsors, stated:
“The US is already one of the largest holders of Bitcoin in the world. But Congress has never set a federal policy on what to do with that asset.”
ARMA would require Bitcoin held in the reserve to remain there for a minimum of 20 years unless assets are sold to reduce the US national debt, which exceeded $39 trillion on Wednesday. Representative Mike Carey said the legislation could strengthen the country’s long-term economic position and help maintain competitiveness as digital assets continue to increase in importance.
Transparency Requirements and Digital Asset Rights Included
The legislation includes transparency provisions requiring quarterly proof-of-reserve reports and independent third-party audits of the Strategic Bitcoin Reserve. ARMA also contains provisions related to digital property rights. The bill states that the federal government may not impair the right of individuals to own or self-custody digital assets.
Commenting on the proposal, Strive CEO and Chairman Matt Cole stated:
“Bitcoin will go to infinity regardless, but for the long term health & security of the United States, this is the single most important crypto legislation that can come out of D.C.”
He added that it was encouraging to see the measure introduced with 16 co-sponsors and expressed hope that support for the legislation would continue to grow.
FAQs
1. What is the American Reserve Modernization Act (ARMA)?
The American Reserve Modernization Act (ARMA) is a bipartisan bill that proposes the creation of a US Strategic Bitcoin Reserve and a Digital Asset Stockpile managed by the US Treasury Department.
2. How much Bitcoin would ARMA allow the United States to acquire?
The bill seeks to acquire up to 1 million Bitcoin over a five-year period through budget-neutral strategies that do not use taxpayer funds.
3. How long would Bitcoin be held under the proposed reserve?
Under ARMA, Bitcoin in the Strategic Bitcoin Reserve must be held for a minimum of 20 years unless it is sold to help reduce the US national debt.
4. Does ARMA address digital asset ownership rights?
Yes. The bill affirms that the federal government may not impair the right of individuals to own or self-custody digital assets.
Source: NICK BEGICH
