Governor Mike Braun signed House Bill 1042, which requires state public pension plans to offer at least one cryptocurrency investment product.
Indiana Governor Mike Braun signed House Bill 1042 on March 3, a law allowing certain state public pension and savings plans to offer exposure to bitcoin and other digital assets. The measure had been introduced by Representative Kyle Pierce and received bicameral approval on February 25.
The law requires several public retirement plans – including the defined contribution plan for state legislators, the Hoosier START educational savings program, and certain pension funds for public employees and teachers – to make available to members a self-directed brokerage option that includes at least one cryptocurrency-linked investment product. Plan administrators have until July 1, 2027 to implement access to these instruments.
Beyond regulating investment access, HB 1042 also introduces specific protections for digital asset users. The law prohibits state and local authorities from imposing special taxes or fees on the use of digital asset as a means of payment for lawful goods and services, and protects individuals who hold their assets through self-custodial wallets from the same extraordinary tax impositions.
The passage of HB 1042 is part of a broader national trend aimed at integrating bitcoin and other digital assets into traditional financial systems. At the federal level, President Donald Trump had signed an executive order in August 2025 allowing 401(k) retirement plans to include cryptocurrency investments.
