A Bitcoin bill has been introduced to the Minnesota Senate, proposing various ways to utilize cryptocurrencies within the state.
Overview of the Bill
Senator Jeremy Miller introduced the Minnesota Bitcoin Act (SF2661), aiming to modernize Minnesota's financial infrastructure. Under the bill, the Minnesota State Board of Investment would be allowed to invest in Bitcoin and other cryptocurrencies, treating them similarly to traditional investments such as stocks and bonds. State employees are also offered the option to include cryptocurrencies in their retirement plans.
Tax Incentives and Opportunities
The bill proposes allowing residents to pay state taxes and fees using Bitcoin, following Colorado and Utah. It also includes tax incentives for cryptocurrency earnings, allowing certain gains to be subtracted from taxable income. Miller stated: “I believe global digital currencies are here to stay, and it’s inevitable that they become more mainstream.”
Situation in Other States
Minnesota joins over a dozen other U.S. states considering state cryptocurrency investments. In Texas, House Bill 4258 allows investments of up to $250 million in Bitcoin or other crypto assets. Meanwhile, Senator Cynthia Lummis has presented an updated version of her Strategic Bitcoin Reserve Act, allowing over a million Bitcoins as government holdings.
The proposed Bitcoin bill could significantly transform Minnesota's financial landscape, reflecting trends and approaches in other states.
