Michael Saylor’s Bold Proposal: Should the U.S. Government Buy 20% of Bitcoin?

Michael Saylor, the Bitcoin evangelist and MicroStrategy chairman, has once again sparked controversy with an audacious proposal:

The U.S. government should buy 20% of Bitcoin’s total supply—roughly $370 billion worth—to strengthen the economy.

With Bitcoin adoption growing and policymakers debating crypto’s role in finance, Saylor’s vision raises key questions:

Could a nation-state like the U.S. realistically invest in Bitcoin?
Would this move benefit or destabilize the global economy?
Is Saylor’s idea a serious policy recommendation—or just Bitcoin maximalism?

Let’s break it down.

What Did Michael Saylor Propose?

During a recent Bitcoin policy roundtable, Saylor argued that:
✅ Bitcoin is superior to traditional reserves like gold & treasuries.
✅ The U.S. should treat Bitcoin as a strategic asset—before China or other nations do.
✅ A $370B investment (20% of BTC’s supply) could give the U.S. an economic edge.

Saylor’s Words: “Bitcoin is digital property—an incorruptible asset. If the U.S. wants long-term financial strength, acquiring Bitcoin now is the move.”

But could this actually happen?

How Would a U.S. Bitcoin Purchase Work?

For the U.S. to buy 20% of Bitcoin’s 21M supply (4.2M BTC), it would need $370 billion at current prices (~$88,000 per BTC).

Potential Methods the U.S. Could Use

1️⃣ Direct Treasury Purchases – Like buying gold, the U.S. could buy BTC through federal reserves.
2️⃣ Taxation & Seizures – The government could acquire BTC through regulations or forfeitures.
3️⃣ Bitcoin Mining Strategy – Investing in domestic BTC mining to accumulate supply gradually.

If the U.S. adopted Bitcoin as a strategic asset, it could reshape global monetary policy.

Would the U.S. Actually Buy Bitcoin? Here’s What Experts Say

Arguments in Favor:
✔ Reserves Diversification – BTC could complement gold & USD reserves.
✔ Digital Currency Leadership – A move like this could solidify U.S. dominance in crypto.
✔ Inflation Hedge – Bitcoin’s fixed supply could protect against dollar devaluation.

Arguments Against:
❌ Regulatory Challenges – The SEC and Federal Reserve remain skeptical of Bitcoin.
❌ Market Disruption – A massive U.S. purchase could send BTC volatility skyrocketing.
❌ Geopolitical Risks – Other nations (like China) could retaliate with crypto policies of their own.

“If the U.S. ever bought 4.2M BTC, price would go vertical—$500K+ overnight.”

While it’s unlikely today, this idea may not be far-fetched in the long run

How Would Bitcoin React to a $370B Government Buy?

Estimated Market Impact of a U.S. BTC Buyout:

Even speculation about such a move could send BTC soaring.

Potential Risks:

• A rapid BTC price surge could trigger extreme volatility.
• Massive centralization of Bitcoin holdings in government hands.
• Possible policy reversals leading to crashes.

“Imagine if the U.S. announced a BTC buy—would be bigger than the ETF effect.”

Could Other Countries Follow Saylor’s Plan?

While the U.S. hasn’t officially considered Bitcoin purchases, some nations already hold BTC in reserves.

Countries Already Buying Bitcoin

El Salvador: Holds ~2,800 BTC after making BTC legal tender.
Russia & Iran: Exploring BTC for international trade due to sanctions.
China (Indirectly): Despite banning crypto, China controls BTC through mining dominance.

“It’s not crazy to think major economies will eventually buy Bitcoin—just a matter of time.”

If the U.S. doesn’t act, will another superpower make the first move?

Final Thoughts: Will Saylor’s Vision Become Reality?

Bullish Case:
✔ If the U.S. moves toward Bitcoin reserves, BTC could skyrocket past $500K.
✔ Bitcoin’s adoption as a treasury asset is already happening globally.
✔ Institutional demand continues to grow, aligning with Saylor’s vision.

Bearish Case:
❌ The U.S. may not embrace BTC due to regulatory pushback.
❌ Bitcoin’s volatility makes it a tough fit for national reserves.
❌ Other nations could move first, outpacing the U.S. in BTC adoption.

What Do You Think?

Should the U.S. follow Saylor’s Bitcoin strategy, or is this idea too extreme? Drop your thoughts below!