CryptoSlate
A bipartisan group of US lawmakers unveiled the American Reserve Modernization Act (ARMA) of 2026 on Thursday, legislation that would formally consolidate the federal government's 328,372 Bitcoin — worth more than $25 billion per Bitcoin Treasuries data — into a Strategic Bitcoin Reserve housed at the Treasury Department, alongside a separate Digital Asset Stockpile for non-BTC crypto holdings. Spearheaded by Rep. Nick Begich, the bill already carries 17 original House co-sponsors and mandates a minimum 20-year hold on every Bitcoin placed in the reserve, effectively converting the government from a periodic auctioneer of seized crypto into a long-term holder. The Treasury would face quarterly Proof of Reserve disclosures, independent third-party audits, and direct congressional oversight under the proposal.
Why it matters
The bill's structure — not its headline number — is the real signal. Previous momentum came from executive action: President Trump's earlier order to establish a strategic Bitcoin reserve, plus Sen. Cynthia Lummis's BITCOIN Act, which proposed acquiring 1 million BTC over five years financed through Federal Reserve gold certificates. Both have stalled. ARMA's self-custody clause, which bars the federal government from impairing Americans' right to own, transfer, or independently secure digital assets, is a direct response to industry pressure and signals the kind of policy floor the sector has been demanding. Strive CEO Matt Cole called the proposal "the single most important crypto legislation that can come out of D.C.," framing it as foundational rather than incremental.
Market impact
ARMA also directs a study into budget-neutral acquisition strategies — explicitly forbidding tax hikes, deficit spending, or additional debt — which means any expansion of the reserve would have to come through reallocation rather than fresh issuance. That constraint limits the near-term buying pressure relative to Lummis's gold-certificate financing plan, but the 20-year lock-up cements the existing 328,372 BTC as effectively permanent federal inventory.
Frequently asked questions
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What is the American Reserve Modernization Act (ARMA) of 2026?
ARMA is legislation unveiled by Rep. Nick Begich on Thursday that would formally establish a Strategic Bitcoin Reserve within the US Treasury, alongside a separate Digital Asset Stockpile for federally held, non-Bitcoin cryptocurrencies. The bill currently has 17 original House co-sponsors.
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How much Bitcoin does the US government currently hold?
Per Bitcoin Treasuries data cited in the legislation, the US federal government currently holds 328,372 Bitcoin — a stockpile valued at more than $25 billion, primarily amassed through law enforcement seizures.
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How long would the government be required to hold the Bitcoin?
ARMA mandates a minimum 20-year hold on every Bitcoin placed in the Strategic Bitcoin Reserve, effectively converting the federal government into a long-term holder rather than a periodic auctioneer of seized crypto.
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How does ARMA differ from Sen. Lummis's BITCOIN Act?
Lummis's BITCOIN Act proposed acquiring 1 million BTC over five years, financed through Federal Reserve gold certificates. ARMA consolidates the existing ~328,372 BTC into a formal reserve and directs a study of budget-neutral acquisition strategies that explicitly forbid tax hikes, deficit spending, or new debt.
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What transparency and self-custody protections does ARMA include?
The bill requires the Treasury to publish quarterly Proof of Reserve reports, submit to independent third-party audits, and face direct congressional oversight. It also includes a clause barring the federal government from impairing Americans' right to own, transfer, or independently secure digital assets.
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