US Admiral Calls Bitcoin a 'Power Projection' Tool

  • US Navy Admiral Samuel Paparo called Bitcoin a 'power projection' tool with critical cybersecurity applications at a Senate hearing.
  • Paparo said Bitcoin's proof-of-work technology imposes greater costs on attackers trying to compromise the network.
  • Senators Cassidy and Lummis recently introduced the Mined in America Act to reduce US reliance on foreign bitcoin mining hardware.
US Admiral Calls Bitcoin a 'Power Projection' Tool
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A senior US military commander has called Bitcoin a “valuable computer science tool” that can support national security interests, going well beyond its monetary use case.

Admiral Samuel Paparo made the remarks at a Senate Armed Services Committee hearing on Tuesday, where senators examined the strategic posture of US forces in the Indo-Pacific, ongoing conflicts in Ukraine and the Middle East, China’s military expansion, and threats from North Korea.

Bitcoin as a cybersecurity asset

Paparo argued that Bitcoin’s proof-of-work mechanism “imposes more cost” on attackers trying to compromise the network, stating:

“Outside of the economic formulation of it, it has got really important computer science applications for cybersecurity.”

He added that Bitcoin is “a peer-to-peer zero-trust transfer of value” and that “anything that supports all instruments of national power for the United States of America is to the good.”

Lowery’s comments

His comments echo those of US Space Force member Jason Lowery, who argued in December 2023 that proof-of-work blockchains could protect the US in cyberwarfare, noting that Bitcoin can secure “all forms of data, messages or command signals” — not just funds.

The remarks come as state-linked actors, including North Korea’s Lazarus Group, have stolen billions in crypto over the past decade to fund nuclear programs through phishing, ransomware, and denial-of-service attacks.

Mined in America Act

The US holds the largest bitcoin reserves among nation-states and the largest share of network hashrate, but remains dependent on foreign-manufactured mining equipment — a supply chain vulnerability that has raised national security concerns.

Last month, Senators Bill Cassidy and Cynthia Lummis introduced the Mined in America Act to bring more bitcoin mining manufacturing back to the US.

The bill also seeks to codify Trump’s executive order establishing the Strategic Bitcoin Reserve.

Original Article