United States of Bitcoin? These States Are Considering BTC Reserves

2024-12-23 10:29:51 Primitive Reading

From decrypt by Liz Napolitano

Donald Trump and his political allies are plugging away at plans to stockpile Bitcoin at a national level in the U.S. Treasury.

And now, with the asset’s price repeatedly soaring to new peaks since Election Day, some U.S. states are following suit.

So far, three states are fielding proposals to establish strategic Bitcoin reserves, while digital asset advocates are calling for other local governments to do the same.

Here's which states are considering topping up their coffers with the world's oldest and most valuable digital currency.

Texas

Texas legislators will soon weigh in on whether or not they should establish a strategic Bitcoin reserve.

Texas State Representative Giovanni Capriglione proposed a bill in December that calls for the Lone Star State to create a Bitcoin stockpile.

The draft legislation stipulates that Texas must hold the Bitcoin for at least five years. The cryptocurrency must be kept in cold storage—that is, on some kind of a device that is not connected to the internet—and the assets cannot be used to make transactions outside of Texas, according to the bill.

“A strategic Bitcoin reserve aligns with Texas’s commitment to fostering innovation in digital assets and providing Texans with enhanced financial security," the bill reads.

Finally, the proposal also enables Texans to donate to the state's Bitcoin fund.

Pennsylvania

The Pennsylvania House of Representatives put forth a bill in November that called for the establishment of a strategic Bitcoin reserve.

Under the Bitcoin bill, Pennsylvania’s Treasurer would be able to buy Bitcoin with “up to 10%” of the State General Fund, Rainy Day Fund, and the State Investment Fund.

Tapping 10% of the State General Fund would allow the Pennsylvania Treasury to purchase nearly $1 billion worth of Bitcoin.

“Bitcoin, which has appreciated significantly over the years, can help Pennsylvania keep pace with inflation and economic change,” the state's lawmakers said in a legislative memo published on November 12.

Disclaimer: This specification is preliminary and is subject to change at any time without notice. Amazon Finance assumes no responsibility for any errors contained herein.