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U.S. Government Holds $16 Billion in Bitcoin, Eyes Massive Expansion with New Bill

As of March 12, 2025, the U.S. government controls 195,234 Bitcoin, valued at more than $16 billion, alongside $4.6 million in Ethereum (ETH), stablecoins like USDC, and yield-bearing assets such as DAI and AUSDC_V2, according to a new report from Nansen, a blockchain analytics firm.

This substantial crypto portfolio underscores the government’s growing engagement with digital assets, particularly following President Donald Trump’s executive order on March 7, 2025, establishing a strategic Bitcoin reserve and U.S. digital asset stockpile. A newly proposed bill, the Strategic Bitcoin Bill introduced by Representative Nick Begich, aims to expand this holding dramatically by acquiring 1 million BTC—approximately 5% of Bitcoin’s total supply—over the next five years.

At current market prices, these purchases would cost just under $110 billion, potentially making the U.S. government’s Bitcoin holdings larger than the estimated 1.1 million BTC attributed to Bitcoin’s creator, Satoshi Nakamoto. Stay informed on government crypto policies with Crypto Market Insights on news.thecoininfo.com, and explore in-depth analysis on The Coin Info Hub at thecoininfo.com.

This expansion could significantly influence Bitcoin’s market liquidity, price stability, and adoption, potentially driving its value higher amid recent volatility, including a drop below $80,000, and broader market pressures like U.S. tariffs. However, it also raises concerns about centralization, as such large-scale government ownership could position the U.S. as a price setter, contradicting Bitcoin’s decentralized ethos.

Critics argue this move could undermine the cryptocurrency’s original purpose as a hedge against centralized control, while proponents see it as a strategic asset for national economic stability. For crypto investors, this development signals both opportunity and risk, as Bitcoin’s market dynamics could shift, but its long-term value depends on regulatory clarity and public trust, especially as Ethereum and stablecoins also play a role in the government’s portfolio. Resources like Crypto News Updates on news.thecoininfo.com can keep you updated on this transformative policy shift.

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