On March 7, the Utah State Senate approved HB230, aimed at promoting blockchain technologies. However, one of its most ambitious provisions—a state-run Bitcoin reserve—was removed before final approval.
Why Was the Bitcoin Reserve Removed?
The Bitcoin reserve proposal initially gained momentum, passing the Economic Development Committee and clearing the Senate's second reading. However, some lawmakers were cautious about crypto investments at the state level. According to Senator Kirk A. Cullimore, there was hesitation regarding such investments. Bill sponsor Representative Jordan Teuscher expressed optimism, stating that Utah continues to lead in innovation.
Utah’s Crypto Future with HB230
HB230 introduces key provisions like custody protections for digital asset holders, the right to mine Bitcoin, operate nodes, participate in staking, and allows state treasurers to allocate public funds into digital assets. Governor Spencer Cox is expected to sign the bill.
Experience of Other U.S. States and Federal Strategy
While Utah dropped the Bitcoin reserve, other states like Texas, Arizona, and New Hampshire are advancing similar initiatives. Texas passed SB 21, allowing investment in Bitcoin. Arizona and New Hampshire are also considering bills to allocate funds into cryptocurrencies and precious metals. Federally, on March 7, U.S. President Donald Trump signed an order to establish a Strategic Bitcoin Reserve.
Utah has taken a significant step towards blockchain initiatives by passing HB230, albeit without a Bitcoin reserve. Other states and the federal government are progressing towards cryptocurrencies, opening new opportunities.
