Key Insights
- Utah’s “Blockchain and Digital Innovation Amendments” bill advanced to the Senate, potentially allowing the state treasurer to invest up to 5% of public funds in bitcoin.
- If enacted, the legislation will take effect on May 7, 2025.
- Utah aims to be the first U.S. state to pass such a law, amid growing state-level interest in bitcoin investments following Trump’s inauguration.
SALT LAKE CITY (MarketsXplora) – Utah has moved a step closer to permitting its state treasurer to invest public funds in bitcoin, as its “Blockchain and Digital Innovation Amendments” bill advanced to a Senate standing committee on Tuesday.
The proposed legislation, known as “H.B. 230,” successfully passed the House with an 8-1 vote last month. It was subsequently moved to the Senate on Feb. 7 for an initial reading before being referred to the Senate Revenue and Taxation Committee, according to the state’s official bill tracker.
Republican Representative Jordan Teuscher introduced the bill on Jan. 21, aiming to grant the state treasurer authority to allocate up to 5% of public funds into “qualifying digital assets.” Eligible assets include cryptocurrencies with an average market capitalization exceeding $500 billion over the preceding 12 months or a stablecoin.
Currently, bitcoin—the world’s largest cryptocurrency—boasts a market capitalization of approximately $1.9 trillion, well above the threshold outlined in the bill. Ether, the second-largest digital asset, has a market cap of around $322 billion.
If enacted, the legislation is set to take effect on May 7, 2025.
“While Utah is the 11th state to introduce similar legislation, we will be the first to pass it,” Teuscher wrote on X, formerly Twitter, on Jan. 21.
Utah Could Become First U.S. State to Invest in Bitcoin
Over a dozen other U.S. states have proposed comparable bills. Lawmakers from Texas, North Carolina, Pennsylvania, Ohio, and Oklahoma have recently advocated for state-held bitcoin reserves as interest in cryptocurrency investments among government officials continues to grow.
The push for state-level bitcoin investment has gained traction, particularly following the inauguration of pro-crypto President Donald Trump in January. Bitcoin, which has seen significant volatility, lost 0.9% over the past 24 hours, trading at $95,705 at the time of writing, according to CoinMarketCap.