Wyoming plans to invest 3% of state funds in Bitcoin

Wyoming has introduced a bill aimed at establishing a Strategic Bitcoin Reserve, positioning itself among several other states exploring similar initiatives.

The proposed legislation, known as House Bill 0201, would permit the state treasurer to invest up to 3% of certain state funds—including the general fund, the permanent mineral trust fund, and the permanent land fund—in Bitcoin (CRYPTO:BTC).

“This forward-thinking approach will benefit our state as we lead the nation in financial innovation,” stated Senator Cynthia Lummis, a strong advocate for Bitcoin, expressed her support for the initiative.

If enacted, the bill would allow investments through direct purchases or via regulated Bitcoin exchange-traded products managed by registered investment companies.

Security measures are also a focal point of the bill; it mandates encrypted storage of private keys and requires the treasurer to submit annual reports detailing investment performance and custody arrangements.

The bill stipulates that if Bitcoin investments exceed the 3% threshold, no immediate sale will be necessary to maintain compliance with this limit.

This legislative move comes as other states—such as Texas, Pennsylvania, and Massachusetts—are also considering similar bills to integrate Bitcoin into their financial strategies.

Representative Jacob Wasserburger emphasised that Wyoming's initiative is part of a broader national trend towards recognising Bitcoin as a legitimate asset for public reserves.

“We can’t afford to sit on the sidelines while other states… move forward with their own Bitcoin reserve bills,” he stated.

The bill is currently progressing through the legislative process and will be debated and voted on in Wyoming's legislature. If approved, it would take effect immediately, further solidifying Wyoming's reputation as a leader in cryptocurrency legislation.

As states grapple with economic uncertainty and inflationary pressures, proponents argue that investing in Bitcoin could enhance financial resilience and protect state funds.