Ohio House Republican leader Derek Merrin introduced a bill to establish a Bitcoin fund in the state's treasury, making Ohio the third U.S. state to propose such a move in just over a month.
Ohio Initiative
The bill, HB 703, called the Ohio Bitcoin Reserve Act, would give the state treasurer the authority to purchase Bitcoin as part of the state’s asset allocation strategy, though it wouldn’t require it. Merrin emphasized the need for Ohio to embrace Bitcoin as a safeguard against the rapidly devaluing U.S. dollar.
Previous Initiatives
This bill follows similar actions in Texas and Pennsylvania. Texas House Rep. Giovanni Capriglione recently proposed the Texas Strategic Bitcoin Reserve Act, proposing Bitcoin as a reserve asset for the state. In Pennsylvania, Rep. Mike Cabell proposed allowing the state’s treasury to hold up to 10% in Bitcoin to hedge against economic instability.
Potential Impact on Finances
Merrin, a vocal supporter of crypto, believes that Bitcoin’s potential to revolutionize finance could strengthen Ohio’s finances. He stated the importance of having 'sound money,' describing it as 'digital property rights for everyone who owns it.' With the growing momentum behind state-level Bitcoin reserves, the U.S. may be seeing a shift in how governments approach digital currencies.
As more states push forward with Bitcoin reserve legislation, it's clear that the governmental stance towards digital currencies might be shifting. The Ohio bill could become a significant part of future discussions on the role of Bitcoin in state economies.