Sen. Cynthia Lummis said funding for the Strategic Bitcoin Reserve “could begin at any time,” but no actual purchases have been made yet.
According to her post on X, the legal path appears to be open, although the necessary steps within the government are still progressing slowly.
The report found that bureaucracy and law-making are what Lummis called “jobs.”
Lawmakers say funding may start
Based on reports, the administration's plan would begin by using Bitcoins already held by the Treasury Department (coins seized in civil or criminal cases) to seed the reserves.
The official fact sheet states that future purchases should be “budget neutral” and impose no additional costs on taxpayers.
Some voices in the financial industry have bolder ideas. ProCap BTC Chief Investment Officer Jeff Park discussed the possibility of governments using approximately $1 trillion in paper profits from gold to support the transition to Bitcoin.
This is a great illustration of why passing the SBR and Bitcoin Act is so meaningful.
Passing legislation is a daunting task, and we continue to work towards its passage, but thanks to President Trump, SBR funding is now ready to begin. ⤵️ https://t.co/gUkeZBPQr4
– Cynthia Lummis 🦬 (@cynthiamlummis) October 6, 2025
Park argued that taking a cautious stance with $1 trillion would be a small step compared to the approximately $37.88 trillion federal debt.
He drew the long-term line. If Bitcoin appreciates at 12% per year, investors could potentially earn about 30x in 30 years. It's a forecast, not a plan.
Source of funding remains unclear
There is no clear mechanism established as to how additional Bitcoins will be purchased beyond the seized coins. The report discloses phrases such as “budget-neutral means,'' but does not specify specific methods.
BTCUSD trading at $124,095 on the 24-hour chart: TradingView
The options mentioned in public have ranged from selling assets to reallocating unrealized gains, but there is no legal precedent for this type of use in strategic reserves. This uncertainty is why lawmakers and market watchers continue to press for more details.
Seven months have passed since President Donald Trump signed an executive order creating the reserve fund.
The move set policy goals but did not outline the rules the Treasury would use to act. Lummis said authorities can move, but they haven't activated the machines yet.
Market reaction and outlook
Investors and commentators are watching closely. Anthony Pompliano told CNBC that the real market shock will occur when the US actually starts buying Bitcoin, rather than just sitting on the coins it already owns.
Many in the crypto industry view official government purchases as important validation. At the same time, regulators and budget authorities are likely to require clear legal authority and accountable processes before spending public resources.
Featured image from VanEck, chart from TradingView
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