Connecticut has passed a bill that prohibits state and local governments from accepting cryptocurrency and holding digital assets. The legislation received unanimous support from lawmakers.
Details of the Law and Support
Connecticut's legislature unanimously passed House Bill 7082, which states that "neither the state nor any political subdivision" shall accept payments in cryptocurrency. The bill was led by Democrats, with State Representative Ken Gucker, Senator Patricia Miller, and Senator Matthew Lesser serving as cosponsors. It first appeared before Connecticut's joint banking committee in February 2025 and advanced through multiple voting rounds.
State-Level Trends on Bitcoin Reserves
Connecticut joins a growing list of states rejecting Bitcoin reserve legislation amidst rising national momentum toward digital asset adoption. In February alone, bills for Strategic Bitcoin Reserves were rejected in Montana, Wyoming, North Dakota, South Dakota, and Pennsylvania, while Florida postponed its proposal. At the federal level, however, President Trump signed an executive order establishing a Strategic Bitcoin Reserve that encompasses various digital assets.
Impact Assessment of the Ban on the Market
The ban comes amid accelerating cryptocurrency adoption in the private sector, with about 28% of American adults now owning cryptocurrencies. Legal experts have questioned the practical impact of the ban, noting it may prevent Connecticut from participating in emerging financial technologies that are actively embraced by other states and countries.
Connecticut's decision to ban cryptocurrency use in government highlights the tensions between traditional financial governance and digital asset innovation. While some states explore cryptocurrency integration, Connecticut risks losing its competitiveness in attracting technology companies.
