Brian Armstrong believes the U.S. authorities is sitting on a multi-trillion greenback Bitcoin pile sooner or later. Coinbase’s CEO claims that the mix of the US’s current Bitcoin holdings and the proposed federal buy might push the nation’s reserves to over $1 trillion.
The US federal authorities is already the biggest recognized holder of Bitcoin, with an estimated 328,372 homeowners. $BTC As of February 2026.
From seized cash to strategic belongings
The factor about authorities Bitcoin is that the majority of it is not being bought. It was confiscated. Think about the Silk Highway bust, ransomware takedowns, and numerous federal forfeiture actions. For years, the usual technique was to public sale off that Bitcoin as quickly as potential.
Issues modified in March 2025 when President Trump signed an government order establishing the U.S. Strategic Bitcoin Reserve. The order directed the federal government to cease promoting the confiscated Bitcoin and as an alternative consolidate it right into a everlasting reserve.
BITCOIN regulation and the street to 1 million $BTC
Armstrong’s multitrillion-dollar projections do not simply depend on what the federal government already owns. The invoice depends closely on Sen. Cynthia Lummis’ invoice, generally known as the Bitcoin Act.
Lummis first launched the invoice on July 31, 2024, proposing that the U.S. buy $1 million. $BTC Over 5 years. She reintroduced the system on March 11, 2025, this time with co-sponsorship from 5 senators. The invoice envisions funding these purchases by way of diversification of current federal funds moderately than new spending.
G20 domino impact
Armstrong claims that different G20 nations are additionally at present investigating their Bitcoin reserves following the US announcement.
What this implies for buyers
The speedy market influence is simple. If the U.S. authorities had been to turn out to be a persistent purchaser of Bitcoin moderately than an everyday vendor, a major supply of promoting stress could be eliminated. Federal Bitcoin auctions have traditionally been market-moving occasions. Eliminating them modifications the availability scenario.
The danger side is equally necessary. Legislative proposals can stall, be amended past recognition, or quietly die in committee. Though government orders exist, government orders could be revoked by the subsequent administration. Constructing an funding principle primarily based on the idea that the US will really buy $1 million $BTC It requires a substantial amount of belief in political continuity.
Traders targeted on this area ought to pay shut consideration to the progress of Bitcoin laws by way of Congress. Hole between government order preserving current inventory holdings and regulation permitting buy of 1 million further shares $BTC It is big financially and politically. Mr. Armstrong’s multitrillion-dollar plan lies on the opposite facet of that hole.
