Hegseth Confirms Bitcoin as Strategic Asset, Gooden Reveals

WASHINGTON - Today, Congressman Lance Gooden (TX-05) questioned Secretary of War Pete Hegseth during a House Armed Services Committee hearing, confirming the Department's use of Bitcoin as a strategic asset for power projection.

Gooden's question comes after last week's hearing in the Armed Services Committee, where U.S. Indo-Pacific Commander Admiral Samuel Paparo revealed to Gooden that the U.S. military is using a Bitcoin node to secure and protect networks.

Congressman Gooden has been a champion for cryptocurrency and expanding its use cases. Gooden weighed in on the stablecoin debate in support of the crypto community and sent a letter urging the General Services Administration to consider installing cryptocurrency ATMs in federal government buildings. Additionally, he is working to craft a "crypto-forward" 2027 National Defense Authorization Act.

Click here to watch the full exchange.

TRANSCRIPT:

Rep. Gooden: Thank you, Mr. Chairman, and thank you, Secretary, for being here and the work you're doing. Over the past decade, Bitcoin has evolved from a fringe asset into a matter of national security. Iran has demanded Bitcoin as a toll for transit through the Strait of Hormuz, North Korean cyber actors have leveraged it in ransomware campaigns, and China is believed to be stockpiling substantial holdings as part of its strategic reserve. Just last week, INDOPACOM Commander Admiral Paparo stated that Bitcoin has direct implications for power projection, and he noted that INDOPACOM is operating a node on the Bitcoin network in furtherance of that mission. Secretary, do you share the opinion that Bitcoin is a tool to project power, and are there any department-wide initiatives to ensure the U.S. secures a strategic advantage in Bitcoin and combats China's digital authoritarianism?

Sec. Hegseth: I guess my short answer would be yes and yes. I am a long enthusiast of Bitcoin and crypto potential, and a lot of the things we are doing, enabling it or defeating it, are classified efforts that are ongoing inside our department, which do provide us a lot of leverage in a lot of different scenarios.

Rep. Gooden: I appreciate that, and I share your views. I thank you for that.