TechFlow news, December 9 — According to Gavekal, the "Bitcoin Act of 2024" proposes establishing a U.S. Strategic Bitcoin Reserve, with part of the funding coming from Federal Reserve remittances to the Treasury. However, the Fed is currently losing over $1 billion per week, accumulating total losses of $212 billion.
Even if the Fed returns to profitability in the future, it will first need to cover the massive deficit on its balance sheet—a process that could take several years. During this period, the Fed will be unable to make normal remittances to the Treasury, directly affecting the funding source for the Bitcoin reserve plan.
In addition, to ensure smooth implementation of the bill, the government may have to rely more heavily on gains from Treasury-led gold revaluation and monetization to support the Bitcoin purchase program.
