State of Michigan proposes a crypto reserve bill

It would allow the treasurer to invest a combined 10% in cryptocurrency from the general fund

14.02.2025 - 09:30

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What’s new? Michigan has become another US state that proposed a strategic bitcoin reserve bill, bringing the total number of states passing legislation related to cryptocurrency reserves to 20.

Material by Cointelegraph

On February 13, Representatives Bryan Posthumus and Ron Robinson introduced HB 4087, a bill to amend the State Management and Budget Act to create a strategic bitcoin reserve. Their proposal for state investment in cryptocurrency is awaiting a vote. Texas Senator Charles Schwertner filed a similar bill in the state Senate on February 12. Posthumus noted:

“Michigan can and should join Texas in leading on crypto policy by signing into law my bill creating the Michigan Crypto Strategic Reserve.”

What else is known? The Michigan bill would allow the state treasurer to invest a combined 10% in cryptocurrency from both the general fund and the economic stabilization fund. The bill does not specify any restrictions or guidelines on what cryptocurrencies can be purchased for the reserve.

The bill also contains a cryptocurrency lending provision, stating that “if cryptocurrency can be loaned without increasing financial risk to this state, the state treasurer is permitted to loan the cryptocurrency to yield further return to this state.” The state must store cryptocurrency directly through secure custody solutions or exchange-traded products from registered investment firms.

Also, Florida Senator Joe Gruters filed a bill that would allow the state’s chief financial officer to invest state funds in bitcoins but no more than 10% of the total state budget. And earlier, it became known that Utah may be the first in the United States to pass a bill to create a bitcoin reserve at the state level.

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