The House Financial Services Committee recently made a significant move by advancing legislation to establish a federal Bitcoin reserve through the American Reserve Modernization Act of 2026. The proposed framework includes a 20-year holding period and annual independently audited reporting requirements.
The committee voted 28-21 to report H.R. 8957 favorably, marking a crucial step in the legislative process. The bill, sponsored by Rep. Nicholas Begich of Alaska, aims to create a Strategic Bitcoin Reserve and a separate Digital Asset Stockpile within the Treasury Department. This legislation builds upon President Donald Trump’s executive order from March 6, 2025, which directed the establishment of a Strategic Bitcoin Reserve and outlined guidelines for asset management.
Under the proposed legislation, qualifying federal Bitcoin would be placed in the reserve, while other digital assets would be held in a separate stockpile. Assets required for other purposes would be excluded from the reserve, ensuring that only relevant government-owned holdings are considered for inclusion.
One key provision of the bill is the requirement for Bitcoin deposited in the reserve to remain there for at least 20 years from enactment. During this holding period, the assets cannot be sold, swapped, auctioned, or disposed of in any way. Additionally, the Treasury would be tasked with conducting a study within one year of enactment to explore possible conditions for early sales and make legislative recommendations for exceptions.
The legislation also includes provisions for annual reporting and oversight, with requirements for public cryptographic proof of reserves, annual reports on holdings and transactions, and verification by an independent third-party auditor. The Comptroller General would oversee the reserve, reports, and audits on a regular basis to ensure compliance.
Furthermore, the bill mandates that Treasury and Commerce conduct a study within 180 days of enactment to assess the risks, costs, and potential benefits of acquiring additional Bitcoin. This study would inform future decisions on expanding the reserve’s holdings.
Overall, the American Reserve Modernization Act of 2026 aims to establish a clear framework for managing federal Bitcoin holdings and ensuring transparency and accountability in the process. The next steps involve further legislative action to solidify these obligations and potentially expand the reserve’s holdings in the future.