In a Senate hearing, a senior U.S. military commander praised Bitcoin’s underlying technology as a valuable computer science and cybersecurity tool for national security. Admiral Samuel Paparo highlighted Bitcoin’s proof-of-work mechanism as a deterrent against cyberattacks, aligning with previous strategic assessments. His comments came as U.S. senators introduced legislation to bolster domestic Bitcoin mining hardware production, addressing supply chain concerns.
Admiral Samuel Paparo, a senior U.S. military commander, described Bitcoin as a “valuable computer science tool” with applications extending beyond finance. He stated at a Senate Armed Services Committee hearing that its proof-of-work technology “imposes more cost” on attackers.
“Outside of the economic formulation of it, it has got really important computer science applications for cybersecurity,” Paparo said. The hearing examined the strategic posture of U.S. forces in the Indo-Pacific and global security challenges.
The remarks echo similar comments from U.S. Space Force member Jason Lowery in December 2023. He argued that the technology could protect the U.S. in cyberwarfare by securing data.
“As a result, this misconception underplays the technology’s broad strategic significance for cybersecurity, and consequently, national security,” Lowery had noted. This research is relevant as state-linked actors increasingly use cyberattacks for sabotage and financial gain.
North Korea’s Lazarus Group is a notable example, having stolen billions in cryptocurrency to fund its nuclear program. Paparo was responding to a question from U.S. Senator Tommy Tuberville about leading on Bitcoin competition.
He described Bitcoin as “a reality” and “a peer-to-peer zero-trust transfer of value.” Paparo added that anything supporting U.S. national power is positive.
The United States holds the largest national Bitcoin reserves and share of the Bitcoin hashrate. However, it remains reliant on foreign-manufactured mining equipment, raising national security concerns about supply chains.
Last month, U.S. Senators Bill Cassidy and Cynthia Lummis introduced the Mined in America Act to address this issue. The bill aims to bring more Bitcoin mining manufacturing back to the U.S.
