North Carolina and Florida Push for Bitcoin Reserves

North Carolina and Florida recently introduced legislative proposals to incorporate Bitcoin into their state financial strategies, joining a rising number of U.S. states exploring digital asset investments.

Florida and North Carolina Consider Bitcoin Reserves for State Treasuries

Florida Senator Joe Gruters introduced SB 550, a bill titled “Investments of Public Funds in Bitcoin.”

The proposal would grant Florida’s Chief Financial Officer (CFO) the authority to allocate up to 10% of state-managed reserves, including the General Revenue Fund, Budget Stabilization Fund, and various trust funds, into Bitcoin and other cryptocurrencies.

41.) Florida Senator @JoeGruters introduces bill SB 550, which allows the CFO to invest up to 10% of public funds into #Bitcoin pic.twitter.com/RKNeVBUOHZ

— HODL15Capital 🇺🇸 (@HODL15Capital) February 10, 2025

The bill sets clear guidelines on investment limits, regulatory compliance, and secure Bitcoin custody, positioning cryptocurrency as part of Florida’s financial infrastructure.

While Florida’s proposal focuses on direct Bitcoin holdings, North Carolina’s HB 92 takes a different approach, allowing investments in exchange-traded products tied to digital assets with a market capitalization exceeding $750 billion.

The bill also permits Bitcoin investments for key state-managed funds, including pensions for teachers and state employees, insurance funds, and veterans’ home trust funds.

North Carolina’s bill carries added weight due to its sponsorship by Rep. Destin Hall, Speaker of the NC House of Representatives, a key decision-maker in the state’s legislative process.

Representatives Mark Brody and Steve Ross, both recognized for their long-term advocacy of Bitcoin, co-sponsored the bill.

As promised, North Carolina’s Strategic Bitcoin Reserve legislation was introduced today.

This is a big deal. Let me explain:

📜 HB 92 bill was personally introduced by House Speaker @DestinHall—one of NC’s most powerful leaders. Top of the food chain.

It will directly… pic.twitter.com/QtS6Kj8CKu

— Dan Spuller (@DanSpuller) February 10, 2025

Dan Spuller, Head of Industry Affairs at the Blockchain Association, who advised North Carolina officials on the legislation, noted that the proposal has gained traction among policymakers and industry experts, positioning the state as a potential leader in cryptocurrency adoption.

Bitcoin Reserves Gain Momentum Across U.S. States

The push for Bitcoin reserves at the state level is accelerating as institutional and government interest in digital assets expands.

Florida and North Carolina are set to become the 19th and 20th U.S. states to propose Bitcoin reserve legislation, following states like Texas, Wyoming, and Ohio.

Their proposals would allocate up to 10% of excess state reserves into Bitcoin, further integrating digital assets into public finance.

VanEck’s Head of Research, Matthew Sigel, suggests that Bitcoin reserves could play a role in bolstering U.S. interests in sectors like energy, AI, and financial technology.

Betting odds show a 51% chance that Trump will create a National Bitcoin Reserve this year, and journalists are calling for comment.

My thoughts: Why is it a good idea? A Bitcoin reserve can send a symbolic message of leadership and innovation while providing a financial hedge… pic.twitter.com/5X3oqBKpsj

— matthew sigel, recovering CFA (@matthew_sigel) February 7, 2025

He believes holding Bitcoin would hedge against inflation and reinforce the country’s digital economy, positioning the U.S. at the forefront of technological advancements.

The rising number of Bitcoin reserve initiatives has fueled speculation about a global accumulation race.

Meanwhile, major asset managers have already secured over 5.91% of Bitcoin’s circulating supply through U.S. spot Bitcoin ETFs.

These funds now hold a combined $114.5 billion worth of BTC, with BlackRock’s ETF accounting for 48.7% of these holdings.

As institutional adoption rises, Bitcoin continues to be considered for reserve holdings.

However, past volatility—including a 64% decline in 2022—remains a factor, even as Bitcoin has shown substantial long-term price increases.

Institutions like the University of Austin are adopting a five-year Bitcoin holding strategy as part of their approach to risk management in digital asset investments.

Observers will be watching closely to see how these legislative moves toward a Bitcoin reserve shape broader state-level investment strategies going forward.

Source: cryptonews.com