Bitcoin Reserve- Montana Says No to Bitcoin Reserve Bill
Bitcoin Reserve– On February 22, Montana’s House voted against a bill that proposed making Bitcoin a state reserve asset, drawing concerns from lawmakers about the risks involved with taxpayer funds. The proposal, known as House Bill No. 429, aimed to establish a special revenue account to invest in precious metals, stablecoins, and digital assets with a market capitalization exceeding $750 billion over the previous year—a criterion that Bitcoin currently meets.
The bill was met with skepticism, especially among Republicans, who opposed it in a 41-59 vote. Lawmakers, such as State Representative Steven Kelly, expressed concerns over the risks of investing taxpayer money in volatile assets like cryptocurrencies. Kelly emphasized the importance of protecting public funds, stating, “These types of investments are way too risky.”
Rep. Bill Mercer also voiced opposition to giving Montana’s Board of Investments the authority to invest in cryptocurrencies and non-fungible tokens (NFTs). However, Representative Lee Demming argued that Montana should seek higher returns for taxpayers, noting the bill could have provided such an opportunity.
The sponsor of the bill, Curtis Schomer, defended the proposal, claiming that Montana’s investment board would lose purchasing power by continuing to invest in traditional assets like bonds. He stated, “The only thing that is risky is not passing this bill.”
Despite support from some lawmakers, House Bill No. 429 has effectively been rejected, and any future Bitcoin reserve legislation would need to be reintroduced. The state’s decision comes after similar proposals have been introduced in 24 states, including Arizona, Illinois, and Texas, with ongoing efforts in states like Utah, where a Bitcoin reserve bill is progressing through legislative channels.
As the debate over Bitcoin’s role in state finances continues, Montana’s decision highlights the ongoing caution toward integrating digital assets into public investment strategies.
Disclaimer: This article is for informational purposes only and does not constitute investment advice. Cryptocurrencies and stocks, particularly in micro-cap companies, are subject to significant volatility and risk. Please conduct thorough research before making any investment decisions.
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