🇺🇸 A Bold Proposal from Senator Cynthia Lummis
On April 20, 2025, Cynthia Lummis, a U.S. Senator and Chair of the Senate Subcommittee on Digital Assets, made a groundbreaking suggestion during a policy discussion:
" The U.S. government should use long-held gold certificates—valued at book price since 1974—to buy Bitcoin and build a national strategic reserve. "
According to Lummis, this move could reduce U.S. national debt significantly—by up to 50% over the next 20 years—without requiring additional taxpayer money or federal budget increases.
💡 Details of the Proposal
What are gold certificates?
These are assets backed by physical gold, still recorded in the government's books at 1974 values, which are far lower than today’s market prices. Lummis proposes leveraging this discrepancy for greater financial efficiency.
Objectives:
- Convert undervalued gold certificates into Bitcoin
- Establish a strategic reserve of Bitcoin for the U.S.
- Utilize dormant government assets instead of new spending
Key Benefits:
- Reduce national debt without raising taxes
- Modernize U.S. reserves with a future-focused asset
- Improve Bitcoin’s role as a legitimate store of value
📈 Potential Market Impact
If implemented, this would make the U.S. the first major nation to publicly use traditional assets (like gold) to invest in digital assets at scale.
Such a move could:
- Boost Bitcoin’s credibility as a sovereign reserve asset
- Influence other governments to consider similar Bitcoin allocations
- Shift investor behavior, especially in gold and crypto markets
💬 Expert Reactions
While still in the proposal stage, the idea is already attracting attention from both Bitcoin advocates and financial analysts. Many are calling it a "21st-century monetary strategy" that bridges the old and new financial systems.
Read more: Donald Trump: “Whoever Holds the Gold Makes the Rules” – A Bold Message to Financial Markets