State-Level Momentum for Cryptocurrency Investments

Texas Takes the Lead

Texas has moved a significant step closer to holding Bitcoin (BTC) as a reserve asset with the state senate passing a bill on March 6 that would allow public funds to be allocated to digital assets. This decision places Texas at the forefront of a growing trend among states exploring crypto investments, following President Donald Trump’s call for a federal strategic crypto reserve.

State-Level Momentum Continues

New Hampshire also advanced its own legislation this week. On March 5, a state house committee approved House Bill 302 by a 16-1 vote, paving the way for the state to invest up to 5% of public funds in bitcoin and precious metals. The bill now awaits a full vote in the state legislature.

Utah is running out of time to finalize a similar proposal. The state’s legislative session ends on March 7, and its bill – already passed by the state house – still awaits a vote in the Senate.

Federal Crypto Reserve

The surge in state-level crypto legislation follows Trump’s renewed push for a national crypto reserve, which he announced on social media on March 2. The US President outlined a plan that could include digital assets beyond Bitcoin.

Industry leaders have largely pushed back against including multiple cryptocurrencies, arguing that Bitcoin alone has the characteristics necessary for a reserve asset comparable to gold.

Uncertainty remains over how the government would source or manage such a portfolio, and no formal policy framework has been proposed.

State-by-State Progress

Conclusion

The growth in state-level crypto legislation is a significant step towards mainstream acceptance of digital assets. As more states consider investing in cryptocurrencies, the debate over their role in public finance is expected to intensify. The federal government’s plans for a crypto reserve remain uncertain, but one thing is clear – the future of cryptocurrency is bright.

FAQs

What is the purpose of the Texas bill?

The Texas bill, SB 21, would permit the state to invest in Bitcoin, which its sponsor, Senator Charles Schwertner, described as a hedge against inflation and financial instability.

What is the significance of the New Hampshire bill?

The New Hampshire bill, House Bill 302, would allow the state to invest up to 5% of public funds in bitcoin and precious metals, paving the way for a potential crypto investment in the state.

What is the status of the Utah bill?

The Utah bill, which was passed by the state house, is still awaiting a vote in the Senate, with the state’s legislative session ending on March 7.

What are the implications for the federal crypto reserve?

The surge in state-level crypto legislation may have implications for the federal government’s plans for a crypto reserve, as states explore their own digital asset investments. The uncertainty surrounding the government’s plans for a crypto reserve remains, with no formal policy framework proposed.