Which states in the United States are considering establishing Bitcoin reserves?

Author: Liz Napolitano

Compiled by: Felix, PANews

Donald Trump and his political allies are working to push the U.S. Treasury to establish a nationwide plan for holding reserve Bitcoin.

Today, as Bitcoin prices continue to hit new highs since Election Day, some states in the U.S. are beginning to follow suit.

So far, five states have proposed establishing strategic Bitcoin reserves, and advocates for digital assets are calling on other state governments to create Bitcoin reserves.

Here are five states considering bolstering their treasuries with the world's most valuable digital currency.

Texas

Texas lawmakers will soon weigh whether to establish a strategic Bitcoin reserve.

In December 2024, Texas Representative Giovanni Capriglione introduced a bill calling for the establishment of a Bitcoin reserve in Texas.

The legislation stipulates that Texas must hold Bitcoin for at least five years. According to the bill, the cryptocurrency must be kept in cold storage (i.e., stored on a device not connected to the internet), and these assets cannot be used for transactions outside of Texas.

The bill states, "A strategic Bitcoin reserve aligns with Texas's commitment to promoting digital asset innovation and providing enhanced financial security for the people of Texas."

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

Pennsylvania

The Pennsylvania House of Representatives introduced a bill in November 2024 calling for the establishment of a strategic Bitcoin reserve.

Under the Bitcoin bill, the Pennsylvania Treasurer would be able to use "up to 10%" of the state’s general fund, emergency fund, and state investment fund to purchase Bitcoin.

Utilizing 10% of the state’s general fund would enable the Pennsylvania Treasury to purchase nearly $1 billion worth of Bitcoin.

State lawmakers stated in a legislative memo released on November 12, "Bitcoin has appreciated significantly over the years and can help Pennsylvania keep pace with inflation and economic changes."

Ohio

Ohio Representative Derek Merrin introduced a bill on December 17, 2024, to establish a strategic Bitcoin reserve in Ohio.

The Ohio Bitcoin Reserve Act requires the establishment of a Bitcoin fund within the state treasury. It also grants the Ohio Treasurer the discretion to purchase the asset.

Derek Merrin tweeted, "Ohio must embrace technology and protect our tax revenue from erosion."

While some details on how the reserves would operate remain unclear, the legislation is expected to serve as a framework for Ohio lawmakers in 2025.

New Hampshire

New Hampshire Representative Keith Ammon introduced a bill on January 10, 2025, proposing the establishment of a "strategic reserve" that allows the state treasury to invest in precious metals (such as gold, silver, platinum) as well as digital assets (including Bitcoin). Although the bill does not mention Bitcoin by name, it is currently the only cryptocurrency that meets the high market value requirement.

The bill would introduce new provisions defining "qualified custodians" and "secure custody solutions" to ensure the safe storage of digital assets and to operate through regulated trading products.

Keith Ammon stated, "Whether we like it or not, we are tied to the dollar, but this would allow us to let the state government invest a small portion of funds into this uncorrelated new asset class."

According to the bill, the New Hampshire Treasurer would also have the authority to engage in "lending or staking" activities.

"The last state to establish a Bitcoin reserve will fail," Keith Ammon added. "States must act early, and this requires educating some state officials."

North Dakota

North Dakota lawmakers introduced a resolution on January 10, 2025, aimed at "investing a portion of state funds in digital assets and precious metals." This is intended to mitigate the impact of inflation on the treasury by diversifying the state's investment assets. The resolution states, "Given the changing economic conditions and emerging investment opportunities, there is a need for prudent investment of state financial resources."

The preliminary resolution will be discussed in the coming days, and a formal bill may ultimately be drafted and submitted. Notably, while the brief resolution encourages investment in digital assets, it does not specify particular assets. North Dakota Legislative Council Director John Bjornson stated that such a definition "is more suitable for legislation."