House Committee to Vote on Bitcoin Reserve Bill Amid Bipartisan Challenges

The American Reserve Modernization Act (ARMA) is set for its first House committee vote on September 16, aiming to establish the federal government's Bitcoin reserve into law. However, the bill has garnered only one Democratic cosponsor, Rep. Jared Golden from Maine, who is not a member of the committee reviewing it.

This situation contrasts sharply with the bipartisan support seen for the CLARITY Act in 2025, where 78 House Democrats voted in favor. The ARMA proposes to make Bitcoin a formal Federal Reserve asset, complicating its acceptance among lawmakers.

Currently, the bill has 23 cosponsors, with 22 being Republicans. The committee consists of a Republican majority, which could allow the bill to advance without Democratic backing. However, the absence of Democratic support raises questions about the extent of bipartisan agreement on cryptocurrency issues.

ARMA aims to consolidate government-held Bitcoin at the Treasury and create a formal Strategic Bitcoin Reserve. It includes measures for a minimum 20-year holding period for Bitcoin in the reserve and mandates annual public proof-of-reserve reports verified by an independent auditor.

Since President Donald Trump established the Strategic Bitcoin Reserve through executive order in March 2025, the current reserve's status relies on presidential authority. The ARMA seeks to solidify this reserve through congressional action, making it less susceptible to unilateral changes by future administrations.

As Bitcoin's value fluctuates, with estimates of U.S. government-linked holdings ranging between 324,000 to 328,000 BTC, the implications of placing such a volatile asset on the federal balance sheet are significant. Supporters argue that holding Bitcoin could provide the government with exposure to an appreciating asset, while opponents warn of the risks associated with its volatility.

The upcoming vote will be indicative of whether bipartisan support for cryptocurrency regulation extends to federal ownership of Bitcoin. A party-line vote against the bill would suggest a divide, while any Democratic support could signal a willingness to consider Bitcoin as a federal asset.