Bitcoin Policy Institute Proposes BTC Bonds to Offset U.S. Debt

In Brief:

The Bitcoin Policy Institute (BPI) has introduced a Bitcoin Bond Initiative to help the U.S. fund government operations while acquiring BTC.

The proposal suggests allocating 10% of bond proceeds to Bitcoin, with the rest supporting federal funding.

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The Bitcoin Policy Institute (BPI), a U.S. non-profit focused on Bitcoin policy research, has unveiled a new proposal aiming to reshape U.S. debt strategy through Bitcoin. Called the Bitcoin Bond Initiative, the plan introduces government-issued debt instruments that allocate 90% of proceeds toward public funding and 10% for purchasing Bitcoin.

This hybrid structure, the BPI argues, would allow the U.S. to build a strategic Bitcoin reserve in a budget-neutral way—complementing the broader goals of the March 6 proposal calling for a digital asset reserve.

According to BPI’s analysis, if implemented, these Bitcoin bonds could save the federal government over $3.54 billion across the next ten years—even before factoring in any potential upside from Bitcoin price appreciation.

This idea joins a growing list of policies and frameworks aimed at increasing the role of BTC and stablecoins within national financial infrastructure, especially under the current administration’s shift toward digital asset integration.

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