- VanEck proposes a U.S. Bitcoin Reserve to help offset national debt by 2049.
- The plan assumes Bitcoin will grow at 25% annually, reaching $21 million per coin.
- Challenges include market volatility, funding issues, and government control over Bitcoin.
VanEck has proposed a U.S. Bitcoin Reserve to help reduce national debt. The plan suggests acquiring 1 million Bitcoin over five years. The U.S. government would hold the Bitcoin for at least 20 years as a strategic asset. VanEck believes Bitcoin’s price will grow at a 25% annual rate, reaching $21 million per coin by 2049. If this happens, the Bitcoin reserve could be worth $21 trillion, covering 18% of the projected $119.3 trillion debt.
Bitcoin’s Growth and Government Support
The Bitcoin price exceeding $95,000 boosted support for its integration into national financial frameworks. The proposal stands alongside Senator Cynthia Lummis’s BITCOIN Act that champions Bitcoin integration into financial policies. President-elect Donald Trump’s pro-cryptocurrency position has stimulated both government dialogues and institutional cryptocurrency adoption.
VanEck’s Bitcoin Reserve Calculator allows users to estimate potential outcomes based on different Bitcoin price scenarios. The calculator shows how Bitcoin’s price and the national debt could interact. Supporters believe this could offer the U.S. a financial hedge against long-term debt growth.
Challenges in Implementing the Reserve
VanEck’s plan assumes Bitcoin will continue to grow despite its history of volatility. If Bitcoin price fails to reach the expected levels, the plan may not succeed. The U.S. would also need to find ways to fund the purchase of Bitcoin. Possible sources include selling gold reserves or using the Exchange Stabilization Fund.
Even if the Bitcoin reserve performs well, it would not solve the entire debt problem. The U.S. runs a fiscal deficit of nearly $2 trillion every year. Critics argue that Bitcoin alone cannot provide a lasting financial solution for national debt.
Changing Views on Bitcoin Adoption
Some experts believe a government-controlled Bitcoin reserve would go against the decentralized nature of cryptocurrency. Bitcoin was designed to operate without centralized authority, making government involvement controversial. Regulatory concerns and political opposition could also slow down adoption.
Despite the concerns, some states are already taking steps to adopt Bitcoin. Utah passed a Bitcoin reserve bill in February 2025, signaling early state-level interest. As financial institutions and governments explore digital assets, Bitcoin’s role in economic stability continues to evolve.
