If the US accumulates 1 million BTC by 2029, it could offset around $21 trillion of national debt by 2049, representing 18% of the total debt at that time.

While former President Donald Trump has signed an executive order for a national digital asset stockpile and appointed pro-crypto leaders to regulatory positions, the establishment of a Bitcoin reserve remains uncertain.

Trump has expressed support for making the US a leader in cryptocurrency, highlighting the potential for economic growth through crypto-friendly policies.

Interest in digital asset reserves is also growing at the state level, with at least 20 states proposing bills that could lead to approximately $23 billion in Bitcoin purchases.

VanEck has proposed the establishment of a Strategic Bitcoin Reserve to help alleviate the United States' staggering $36 trillion national debt.

This proposal is rooted in the BITCOIN Act introduced by Senator Cynthia Lummis, which advocates for the US government to acquire up to 1 million Bitcoins over a five-year period, capping purchases at 200,000 BTC annually.

In line with these developments, VanEck has created an interactive tool inspired by the BITCOIN Act, allowing users to simulate various scenarios regarding the impact of such a reserve.

This analysis assumes a 5% annual growth rate in national debt, predicting it could escalate to approximately $116 trillion by 2049.

The Bitcoins would be held in a dedicated reserve for a minimum of 20 years, potentially leading to significant reductions in national debt.

Bitcoin's price is projected to grow at a compounded rate of 25% per year, starting from $100,000 in 2025 and potentially reaching $21 million per Bitcoin by 2049.