Bitcoin Advocate Lummis Skeptical of Near-Term Approval for Trump’s Crypto Reserve Plan

Wyoming Sen. Cynthia Lummis, a leading bitcoin proponent, cast doubt on the immediate feasibility of former President Donald Trump’s proposed cryptocurrency strategic reserve, citing insufficient Congressional backing as a critical barrier.

Political Resistance Slows Trump’s Bitcoin Strategic Reserve, Lummis Says

Trump’s plan, unveiled March 2, 2025, via Truth Social, calls for a “Crypto Strategic Reserve” holding bitcoin, ethereum, XRP, solana, and cardano to establish the U.S. as the global crypto leader. Modeled after the Strategic Petroleum Reserve, the initiative aims to leverage seized assets—or new purchases, though specifics remain unclear. The announcement briefly propelled bitcoin to $95,000 and spurred double-digit gains for other named cryptocurrencies.

Lummis, who introduced her own bitcoin-focused reserve bill in July 2024, criticized Trump’s broader approach. Her legislation mandates annual Treasury purchases of BTC over five years, totaling 1 million BTC held for 20 years, with options to offset federal debt. Unlike Trump’s multi-asset proposal, her bill has stalled in the Senate Banking Committee amid bipartisan hesitancy.

Key Republicans, including House Banking Committee Chairman Tim Scott, have reportedly resisted expediting the reserve. “We might need to put a pin in it for a while,” Lummis quoted Scott as saying during a March 5 Bitcoin Investor Day event, citing concerns over funding mechanisms and regulatory complexities. Other critics argue crypto’s volatility undermines its viability as a reserve asset, while supporters view it as a strategic economic tool.

Market reactions to Trump’s plan highlighted crypto’s sensitivity to policy signals. Bitcoin surged to $95,000 following his posts but later retreated amid broader investor caution. Several people have endorsed using confiscated bitcoin for the reserve, while people like Schiff question its necessity.

As of March 5, 2025, both proposals lack legislative traction. The White House’s upcoming Crypto Summit on March 7 may clarify next steps, but without bipartisan consensus, analysts expect delays. Lummis’s skepticism reflects a broader political divide, leaving the reserve’s future uncertain despite vocal crypto industry support.