The proposed bills aim to establish strategic Bitcoin reserves and assess the modernization of public resource management through blockchain technology.
In Illinois, State Representative John M. Cabello introduced HB1844, known as the “Strategic Bitcoin Reserve Act.” The proposal seeks to create a Bitcoin reserve, recognizing the cryptocurrency as a hedge against inflation and economic instability.
The bill states:
“A strategic bitcoin reserve aligns with Illinois’ commitment to fostering innovation in digital assets and providing Illinoisans with enhanced financial security.”
The bill proposes the creation of a fund managed by the State Treasurer, with the ability to accept Bitcoin donations from private individuals and government entities. A key aspect of the proposal is the minimum five-year holding period for any acquired bitcoin. The plan also includes security protocols and fund management guidelines, with mandatory periodic reporting.
Meanwhile, Indiana has taken a broader approach with HB1322, introduced by Representative Jake Teshka. This proposal goes beyond Bitcoin reserves, exploring the potential applications of blockchain technology to enhance government efficiency and data security.
One of the most notable aspects of the bill concerns pension investments: it authorizes public employee, teacher, and state official pension funds to invest in regulated Bitcoin ETFs, both spot and futures.
These initiatives are part of a larger movement involving 15 U.S. states. Utah and Arizona are advancing similar proposals for investing public funds in digital assets, while Texas Lieutenant Governor Dan Patrick has included the creation of a strategic Bitcoin reserve among his priorities for 2025.