Brazil Revives Bill 4501 to Accumulate 1 Million BTC for Strategic National Reserve

• Brazil reintroduces Bill 4501 to build a 1 million BTC strategic reserve over five years.

• The proposal allows tax payments in Bitcoin and bans the sale of seized BTC.

• The plan links Bitcoin reserves to Drex and expands mining and corporate incentives.

Brazil’s Congress has revived Bill 4501/2024 to create a Strategic Sovereign Bitcoin Reserve known as RESbit. The proposal authorizes the acquisition of up to 1 million BTC over five years. Lawmakers estimate the plan could cost about $68 billion. The target sharply expands an earlier draft that capped purchases at 5% of foreign reserves. If approved, Brazil would rank among the largest sovereign Bitcoin holders.

🇧🇷 LATEST: Brazil reintroduces bill to create a Strategic Bitcoin Reserve, allowing the country to acquire up to 1M $BTC. pic.twitter.com/f9vsWDU8vs

— Pi News (@PiNewsMedia) February 14, 2026

The revised text frames Bitcoin as a hedge against inflation and fiat volatility. It also treats the asset as resistant to third-party seizure. Moreover, the bill integrates Bitcoin into broader fiscal and monetary policy. It allows tax payments in Bitcoin and bans the sale of confiscated BTC. In addition, it positions the reserve as a diversification tool for the national treasury.

Scope Expands Beyond Direct Purchases

The bill permits multiple accumulation methods beyond open-market buying. Authorities could retain taxes paid in Bitcoin as part of reserves. The state could also hold shares of spot Bitcoin ETFs during emergencies. Furthermore, public companies may contribute to reserve accumulation under defined rules. These mechanisms widen the path toward the 1 million BTC goal.

Management responsibilities would be split between the central bank and the Ministry of Finance. The Internal Revenue Service would have 12 months to build technical infrastructure. Meanwhile, the central bank must publish semi-annual reports to Congress. Those reports would disclose custody, transactions, and performance data. The Executive Branch would regulate the law within 180 days of enactment.

Legal Guarantees and Oversight Framework

The proposal embeds rights tied to digital asset use and custody. It affirms self-custody and free transfer of Bitcoin. It also protects transaction confidentiality except under court order. Any administrative restriction on transfers to user-controlled wallets would be void. The text assigns administrative and criminal penalties for mismanagement of RESbit.

Oversight would involve several congressional committees before final approval. The Finance and Taxation Committee will review fiscal impact. The Constitution and Justice Committee will assess legal compatibility. The Science, Technology, and Innovation Committee will examine technical aspects. These stages will shape the final structure of the reserve.

Mining Incentives and Digital Real Link

The bill promotes domestic Bitcoin mining and corporate holdings.Last year, Brazil announced plans to hold a public hearing to discuss a national Bitcoin reserve proposal. The proposed bill would allow up to 5% of Brazil’s reserves to be held in Bitcoin through cold wallet storage.

Incentives aim to strengthen Brazil’s digital asset ecosystem. Lawmakers also propose using Bitcoin as collateral for Drex, the digital real. This linkage would integrate Bitcoin into the country’s evolving payment framework. Additionally, the plan encourages cooperation with international institutions on best practices.

However, the initiative may face friction with existing central bank rules. Current regulations do not formally recognize Bitcoin as a reserve asset. Earlier last year, South Korea’s central bank officially ruled out adding Bitcoin to its foreign exchange reserves. Even so, the revived bill signals growing sovereign interest in digital reserves. Similar proposals have surfaced in U.S. states such as Kansas and Arizona. Indiana has also advanced legislation allowing public retirement funds to access cryptocurrencies.