US Congress publishes full Strategic Bitcoin Reserve bill — 20-year lockup and proof-of-reserves mandated

The full text of H.R. 8957 — the American Reserve Modernization Act of 2026 — was published this week on the official US Congress website, giving lawmakers, industry stakeholders, and the public their first detailed look at the mechanics behind a bill that would permanently codify a Strategic Bitcoin Reserve into federal law.

Introduced May 21 by Rep. Nick Begich (R-AK) alongside co-lead Rep. Jared Golden (D-ME) and more than 20 bipartisan co-sponsors, the bill has been referred to the House Committee on Financial Services. Its broad outline — consolidating federally held Bitcoin under Treasury oversight — was known at introduction. But the full text reveals a far more detailed architecture of custody rules, transparency mandates, and acquisition guardrails.

A 20-year lock that resets with every deposit

The centerpiece of the legislation is a mandatory 20-year holding period on all Bitcoin deposited into the Strategic Bitcoin Reserve. During that window, holdings cannot be sold, swapped, auctioned, encumbered, or otherwise disposed of for any purpose. Crucially, the clock resets with each new deposit — meaning any Bitcoin seized through criminal or civil forfeiture and transferred to the reserve becomes untouchable for another two decades from the moment it arrives.

After the 20-year period expires, the Treasury Secretary may recommend selling no more than 10% of reserve assets within any two-year window, subject to Congressional review that weighs market impact, national debt implications, and financial stability.

Quarterly proof-of-reserves, by law

The bill would mandate what may be the most rigorous public accountability framework ever attached to a federal financial program. The Treasury would be required to publish quarterly reports including cryptographic proof-of-reserve attestations, independent third-party audits, and ongoing oversight by the US Government Accountability Office. Every report would have to document reserve balances, transactions, and proof of control over private keys — on-chain transparency that no existing federal financial institution comes close to matching.

No new taxes or borrowing to buy Bitcoin

One of the bill's harder lines: the federal government cannot use new borrowing, new taxes, or deficit spending to acquire Bitcoin for the reserve. Instead, the legislation directs the Treasury and Commerce Departments to jointly study budget-neutral acquisition pathways within 180 days of enactment. The bill identifies several avenues worth exploring: converting non-Bitcoin digital assets from a separate Digital Asset Stockpile, using Federal Reserve surplus remittances, and revaluing gold certificates.

Non-Bitcoin assets seized by federal agencies — Ethereum, Solana, and other forfeited cryptocurrencies — would be held in that separate Digital Asset Stockpile. Proceeds from selling those assets could be used to expand Bitcoin holdings or pay down the national debt.

States can opt in; private holders are protected

The bill opens a voluntary state participation program, allowing states to store their own Bitcoin in segregated accounts within the Treasury reserve. It also includes an explicit protection: nothing in the legislation can be construed as authorizing the federal government to seize Bitcoin lawfully held by private individuals or businesses.

A more cautious version of earlier proposals

H.R. 8957 is deliberately narrower than the BITCOIN Act proposed in prior sessions, which called for the outright purchase of one million Bitcoin using government funds. The new bill builds on President Trump's March 2025 executive order establishing an initial Bitcoin reserve from forfeited assets, but codifies it in statute with far stricter rules — including the 20-year lockup, the no-new-spending constraint, and the proof-of-reserve mandate.

The legislation now awaits action in the House Financial Services Committee. Whether it advances will depend partly on how the broader crypto regulatory environment evolves in the second half of 2026 — and how willing lawmakers are to commit to holding an asset that, as of this week, is trading near $63,000 after a 30% monthly decline, as reported by Bitcoin Magazine.