Bitcoin Reserve? Sure, But Only If Congress Gets Off Its Chair — VanEck Exec

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So, the saga continues, dear readers. It seems that in this grand theater of financial wizardry, where the only magic trick is making money vanish into the air, building a “permanent” US Bitcoin reserve is not quite as simple as waving a wand or signing an executive order. No, no—according to Matthew Sigel, the VanEck digital assets czar, it requires the legislative equivalent of a congressional marathon. That’s right, it’s going to need targeted legislation rather than just a little presidential finger snap.

At the grand Bitcoin 2025 fiesta in Las Vegas, Sigel unveiled the most likely scenario for this financial revolution: somehow sneak Bitcoin mining incentives into the congressional budget reconciliation process. A move that sounds as exciting as watching paint dry, but with potentially more profit for everyone involved. 🍿

Sigel isn’t just talking about the usual tax credits for mining companies, no. He’s talking about sweetening the pot with perks for miners who can cough up a portion of their mined BTC for Uncle Sam. Ah, the old ‘share the wealth’ tactic. Who wouldn’t want to give a little Bitcoin back to the federal government? 😏

But wait, there’s more. Sigel, in his infinite wisdom, warns about the treacherous waters of executive action. Apparently, anything above $100 million will result in the usual symphony of lawsuits, led by none other than Elizabeth Warren, the queen of Wall Street takedowns. So, forget about the magic executive pen. If we’re talking real change, it’s going to have to start with a modest $100 million in the Exchange Stabilization Fund. Start small, right?

“The problem with executive action is that it’s going to prompt lawsuits. And anything over $100 million is going to get sued by the Elizabeth Warrens of the world. So, I would say start with something maybe in the Exchange Stabilization Fund for $100 million.”

And here’s where it gets even juicier. In a twist straight out of a financial thriller, former President Donald Trump got the ball rolling by establishing the US Bitcoin Strategic Reserve back in March. But of course, there’s a catch. The US government can only acquire Bitcoin if it’s part of a budget-neutral strategy or through asset forfeiture. I mean, come on, who doesn’t love a good asset grab? 🤑

Lawmakers, officials pitch different ideas to grow strategic Bitcoin reserve

Now, let’s talk about some big ideas from the *big* players. Wyoming Senator Cynthia Lummis, with the kind of flair only a true legislator could have, proposed converting a chunk of the US Treasury’s gold certificates into Bitcoin. Yes, gold, that shiny stuff that has been the *real* store of value since the dawn of time, could be traded for… a little digital gold. 💰

Lummis argues that this would allow the US government to buy more Bitcoin, all without hitting the taxpayers’ wallets. Brilliant, right? Well, when you can’t print money fast enough, just swap your old-school wealth for something new and shiny. Makes sense… sort of. 🤔

And wait for it—Bo Hines, the executive director of the President’s Council of Advisers on Digital Assets (yes, that title sounds as official as it gets), jumped on the Bitcoin bandwagon too. In March 2025, he too suggested that the US Treasury should revalue its gold holdings (currently at a modest $42.22 per troy ounce) and then funnel those profits into Bitcoin. Because why not? The more gold you have, the more digital coins you can snatch. Budget-neutral? Absolutely. And the best part? The price of gold hit an all-time high of $3,500 per ounce just last month. But, like all things, it had a slight dip back to $3,300 on May 27. Who’s counting? 😆

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2025-05-28 00:59