Congress Pushes Treasury to Develop Framework for Strategic Bitcoin Reserve and Digital Asset Cus...

House bill directs Treasury to assess feasibility of a Strategic Bitcoin Reserve and digital asset stockpile.

Section 138 mandates a 90 day custody, cybersecurity, and coordination plan for federal digital assets.

Provisions expand on Trump’s March executive order, seeking to codify a Strategic Bitcoin Reserve into law.

Lawmakers in the U.S. House of Representatives have advanced a proposal directing the Treasury Department to assess the feasibility of establishing a Strategic Bitcoin Reserve. The measure, filed Friday as part of a broader appropriations bill, would also require the department to design custody and cybersecurity procedures for federal digital assets

According to the House docket, the bill was placed on the Union Calendar on September 5, making it eligible for consideration on the floor. Representative David Joyce (R-OH) reported the bill, which includes two sections addressing the potential structure of a reserve and the government’s custody framework for Bitcoin and other digital assets.

Study on Strategic Bitcoin Reserve and Stockpile

Section 137 of the legislation instructs the Treasury to study the “practicability of establishing a Strategic Bitcoin Reserve and United States Digital Asset Stockpile.” The study would also examine its potential impact on the Treasury Forfeiture Fund and the authorities that might enable digital asset transfers. Lawmakers want the Treasury to outline whether a reserve is possible and, if so, under which legal and financial authorities it would operate.

Requirements for Custody, Cybersecurity, and Coordination

Section 138 introduces a separate requirement, directing the Treasury to deliver a 90 day plan. The plan must detail custody architecture, cybersecurity protocols, accounting standards, and interagency coordination procedures for managing federal digital assets

According to Kurt Watkins, founder of Watkins Legal, if enacted, the measure would force the Treasury to confront issues faced by institutional custodians across the private sector. He noted that defining custody standards and accounting treatment at the federal level would likely influence broader industry practices.

Building on Executive Order Framework

The provisions expand upon President Donald Trump’s executive order issued in March, which first outlined a Strategic Bitcoin Reserve in concept. Watkins explained that the order introduced the framework but left many of the operational details unresolved

By requiring the Treasury to determine custody structures, cybersecurity protections, and transfer mechanisms, Congress is now seeking to codify the reserve into law. The measure further directs the department to address how digital assets, including Bitcoin, would appear on the federal balance sheet.

The appropriations bill has cleared the committee stage and now awaits House floor consideration. Its progress depends on ongoing negotiations surrounding federal spending measures, where lawmakers must decide its legislative path.

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