New ARMA Bill: US Proposes Strategic Bitcoin Reserve with 20-Year Lockup
A new bipartisan bill aims to lock U.S. government Bitcoin holdings into a strategic reserve for at least 20 years. This legislation is the latest congressional push to establish a national crypto stockpile.
Introduced by Rep. Nick Begich (R-Alaska) and Rep. Jared Golden (D-Maine), the American Reserve Modernization Act of 2026 (ARMA) outlines strict rules for federal digital assets. The bill creates an official Strategic Bitcoin Reserve. It also sets up a separate Digital Asset Stockpile for non-Bitcoin assets managed by the U.S. Treasury.
Key Highlights of the ARMA Bitcoin Bill
- 20-Year Mandate: The government cannot sell, swap, or auction its Bitcoin for two decades.
- No Purchase Target: The bill removes the previous mandate to buy 1 million BTC.
- Total Transparency: The law requires quarterly public proof-of-reserve reports and independent third-party audits.
- Budget-Neutral Focus: Future funding relies on existing federal mechanisms instead of taxpayer money.
Strict 20-Year Lockup Rules for US Bitcoin Holdings
According to the official bill text, all Bitcoin placed into the reserve must remain untouched for a minimum of 20 years. The government is legally barred from selling, swapping, or liquidating these assets during this time.
Even after the lockup period expires, strict limits apply. The Treasury Secretary can only recommend selling a maximum of 10% of the reserve’s assets within any two-year window.
“America should not be selling off strategic digital assets. We should be securing them for the future,” said Rep. Mike Rulli (R-Ohio). “This bill takes a long-term approach by requiring the United States to responsibly hold Bitcoin.”
Dropping the 1 Million BTC Purchase Target
Unlike earlier versions of the BITCOIN Act, ARMA does not set a hard acquisition target. The original proposal aimed to buy 1 million BTC over five years. Instead, the new draft directs the Treasury and Commerce departments to study “budget-neutral” acquisition strategies.
The bill outlines several alternative methods to grow the reserve without direct taxpayer funding:
- Converting existing non-Bitcoin government assets.
- Using gold certificate revaluations.
- Allocating assets from criminal and civil forfeiture proceedings.
- Directing specific tariff revenues toward crypto.
- Launching strategic partnerships with individual U.S. states.
Current US Government Crypto Holdings and Transparency
The new legislation builds on a 2025 executive order that established a baseline digital asset stockpile. Treasury Secretary Scott Bessent reaffirmed this strategy, noting that the government has already stopped selling its seized Bitcoin.
Data from Arkham Intelligence values current U.S. government crypto holdings at roughly $26 billion. This massive portfolio consists mostly of Bitcoin, Ether, and USDT.
Under ARMA, all federal agencies must provide a full accounting of their digital assets within 60 days of enactment. Mandatory quarterly public proof-of-reserve reports will ensure complete transparency moving forward.
