#BTCReserveStrategy A U.S. Strategic Bitcoin Reserve Could Help Offset National Debt

The BITCOIN Act proposes that the U.S. Treasury acquire up to 1 million Bitcoin over 5 years and hold it in a Strategic Bitcoin Reserve for at least 20 years as a store of value to strengthen the nation's balance sheet.

Explore hypothetical outcomes inspired by the Act by changing U.S. debt growth rates, average Bitcoin acquisition prices, Bitcoin price growth rates, and the total quantity of Bitcoin acquired to visualize how a national Bitcoin reserve could potentially offset U.S. debt.

VanEck's Assumptions For A Bitcoin Strategic Reserve Explained

If the U.S. government follows the BITCOIN Act's proposed path - accumulating 1 million BTC by 2029 - our analysis suggests this reserve could offset around $21 trillion of national debt by 2049. That would amount to 18% of total U.S. debt at that time.

This assumes:

• U.S. debt compounds at 5.0% per year, reaching ~$116 trillion by 2049 (starting from $36 trillion in 2025).

• Bitcoin compounds at 25% per year, rising from $100,000 to ~$21 million per BTC by 2049.

This is an optimistic projection, but it highlights Bitcoin’s potential role in reshaping sovereign reserves and debt management. #BinanceSquareTalks