The Blockchain and Digital Innovation Amendments, which enable Utah to invest a portion of public funds in cryptocurrency, have successfully passed committee vote and are now headed to the House.
Role of the State Treasurer
The bill grants Utah's State Treasurer the authority to allocate up to 5% of certain public funds into qualifying digital assets, including Bitcoin and approved stablecoins, which meet required criteria like a market cap of over $500 billion. It also allows for staking and lending of these digital assets.
What Sets the Utah Bill Apart?
Utah's bill stands out due to its crypto mining zoning restrictions, reflecting the state's attention to how blockchain technology impacts infrastructure. The bill ensures no state or local entity can restrict individual self-custody of digital assets in personal or hardware wallets.
Utah Joins Other States
Utah is part of a broader movement among states considering cryptocurrency investment for public funds. Currently, 12 states, including neighboring Arizona and Wyoming, have proposed similar legislation. For instance, Arizona's SB 1025 proposes investing up to 10% of public funds in Bitcoin and other digital assets. This bill aligns with the trend spurred by former President Donald Trump, who advocated for a national Bitcoin stockpile.
With its committee approval, HB 230 moves to the full House for a vote. If approved, Utah will be among the first states to officially invest public funds in cryptocurrency.
