Bitcoin Price Prediction: BTC is Pentagon “National Security Asset”

Hegseth Bitcoin National Security Shift: Portfolio Impact The post Bitcoin Price Prediction: BTC is Pentagon “National Security Asset” appeared first on 99Bitcoins.

May 5, 2026 - 18:01
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US Secretary of War Pete Hegseth told the House Armed Services Committee this week that the Pentagon is running classified Bitcoin projects that provide the US military “a lot of leverage in a lot of different scenarios.” This repositioned Bitcoin from a speculative technology price prediction into an instrument of American strategic power.

With it being delivered by the head of the world’s largest military budget, it has become the most consequential institutional endorsement Bitcoin has received since the approval of spot ETFs.

Hegseth has been publicly bullish on Bitcoin since at least 2021, when he first framed it as a hedge against inflation. His 2025 financial filings confirmed he holds BTC personally. But his prior advocacy was the opinion of a media personality. What changed this week is the office, with Hegseth now speaking for an institution with a $900 billion annual budget, classified operational programs, and a mandate to counter peer adversaries.

The shift also didn’t arrive in a vacuum. President Donald Trump signed an executive order in 2025 establishing a strategic bitcoin reserve seeded with approximately 200,000 government-held coins from forfeitures. Hegseth’s testimony this week is the national security architecture being built around that policy foundation.

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Russia, China, and Defense Argument

The Hegseth framing is grounded in a specific adversarial dynamic with analytical weight. Russia now accounts for 16% of global Bitcoin mining, the second-largest mining hub globally. China, despite its 2021 domestic ban, still represents nearly 12% of global mining activity through underground and offshore operations.

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