Bitcoin reserves were considered in several US states before Trump’s federal push

Several states in the US are already considering the idea of ​​creating a strategic reserve for Bitcoin, as supporters await a push from Donald Trump at the federal level.

On the campaign trail for the November 2024 election, he now introduced President-elect Donald Trump Several big promises For the crypto industry. However, nothing has been talked about after the elections such as his intention to launch the US strategy Bitcoin Reserve.

However, while critics continue to debate the feasibility of such a move at the federal level and its potential market impacts, some states may look to participate in the action.

The United States is considering using the orange pill

After Donald Trump’s election victory, at least three US states are considering building their own Bitcoin stocks using unique frameworks. Recently highlighted In a CNBC Crypto World Report on Tuesday, December 24th. Talk to CNBCCentrifuge General Counsel Eli Cohen emphasized that the development was hugely positive for cryptocurrency markets.

Pennsylvania

On November 12, barely a week after Trump announced that he would take over as the next president of the United States, representing the state of Pennsylvania. Mike Capel proposed a bill To allow the state treasurer to invest state funds in Bitcoin.

House Bill 2664, or the Bitcoin Strategic Reserve Act, seeks to allow the treasurer to invest up to 10% of the state’s general fund, the Rainy Day Fund, and the state investment fund in bitcoin.

Kapil says the implementation of the bill would help protect the state’s assets from inflation. He emphasized that the state’s purchasing power has declined by a staggering 20% ​​in the past four years alone while bitcoin continues to gain strength against the dollar.

So far, Pennsylvania’s Strategic Bitcoin Reserve Act has only had one co-sponsor, Representative Aaron Coover.

Texas

On December 12, Texas State Representative Giovanni Capriglione Proposed House Bill No. 1598or the Texas Strategic Bitcoin Reserve Act, to allow the state to create a Bitcoin reserve within its treasury.

Unlike Pennsylvania’s proposed bill that would allow the treasurer to purchase bitcoin from existing state funds, the proposed Texas bill would create the reserve by enabling residents to pay fees and taxes with bitcoin. The inventory will also be open for voluntary donations.

The Texas bill also details the establishment of cold storage and the holding period, noting that the state may not sell the reserve for at least five years.

Like Penn’s Capel, Capriglione also argues that bitcoin could serve as an inflationary hedge that preserves value for Texans.

Centrifuge’s Eli Cohen said Tuesday CNBC The Texas bill could face major infrastructure hurdles and problems convincing the cryptocurrency community to submit its wallets for taxes.

Ohio

Ohio is the latest to join the Bitcoin rush. On December 17, State Representative Derek Mirren I made a suggestion To allow the state to create a Bitcoin stock.

House Bill 703, or Ohio’s Bitcoin Reserve Act, seeks to give the state treasurer the flexibility to invest in Bitcoin if desired and build a reserve of forfeited assets.

Mirren hopes the bill will pave the way for speedy legislation in 2025.

Recent state-level bills, like the proposed national effort, are all in their early stages, and it remains unclear whether they can get the support needed to become law. But until then, the ensuing speculation continues to generate excitement about Bitcoin and cryptocurrencies.