Connecticut Governor Ned Lamont has signed a bill prohibiting state government and its subdivisions from accepting, holding, or investing in digital assets, including Bitcoin.
Contents of the Law
The bill, signed on June 30, 2025, was introduced in February 2025 and co-sponsored by several Democratic lawmakers. It bans not only the acceptance of payments in virtual currency but also any investments or reserves in these assets. The law was passed with a strong majority in both chambers of the General Assembly.
Reaction to the Law
Reactions from the industry to the new law have been mixed. Some analysts see the ban as a sensible move due to the absence of federal regulation in this area. The debate over cryptocurrency regulation continues at both state and federal levels.
Potential Consequences
Connecticut's move stands in contrast to the increasing trend of crypto adoption in other states, like Texas, which just established a state-funded Bitcoin reserve. This could influence how other states develop their policies regarding digital assets.
Connecticut's prohibition on digital assets usage may serve as an example to other states and provoke further debates concerning cryptocurrency regulation in the country.
