Florida Lawmakers Renew Push to Launch State Bitcoin Reserve

Florida lawmakers have filed new legislation to create a state-managed Bitcoin reserve. The bill, House Bill 1039, was introduced by Rep. John Snyder on January 7, 2026. It seeks to establish a fund that functions separately from the state treasury.

The bill outlines a framework where the state's Chief Financial Officer (CFO) would manage the reserve. It includes provisions for secure custody of cryptographic private keys and allows for third-party management contracts. The fund is intended to serve as a hedge against inflation.

Under the proposed legislation, only cryptocurrencies with a 24-month average market capitalization of at least $500 billion would qualify. This effectively limits the reserve to Bitcoin, as it is the only asset meeting that threshold. The bill also permits the reserve to grow through forks or airdrops.

Why Did This Happen?

The renewed push for a Bitcoin reserve reflects growing interest among state lawmakers in diversifying public asset portfolios. Similar efforts have been made in other states, such as New Hampshire and Texas. Florida's legislation follows previous stalled attempts that were withdrawn due to concerns over risk and scope.

Rep. John Snyder and Sen. Joe Gruters have positioned Bitcoin as a potential hedge against inflation. The state's Chief Financial Officer, Jimmy Patronis, has publicly described Bitcoin as "digital gold." This terminology aligns with a broader view among conservative lawmakers who see the asset as a long-term store of value.

How Will the Reserve Operate?

The reserve would be managed outside the state's main treasury. The CFO would have discretion over when and whether to deploy funds, but the bill does not mandate a minimum allocation. Earnings from the reserve would be reinvested into the fund.

The legislation includes detailed security protocols, requiring secure custody solutions with encryption and geographic redundancy. It also mandates independent audits and the creation of an advisory committee. These measures aim to address concerns about volatility and ensure transparency.

If the bill is passed, it would take effect on July 1, 2026. The Florida Legislature's session runs through April, giving lawmakers several months to advance the bill through committee and floor votes. If enacted, Florida would become one of the largest U.S. states to adopt a Bitcoin reserve strategy.

What Are Analysts Watching Next?

Market analysts are closely monitoring how other states respond to Florida's initiative. Several states, including Oklahoma and Utah, have already advanced similar proposals, while Pennsylvania's effort has stalled. The outcome in Florida could influence broader adoption or rejection of state-level Bitcoin reserves.

Cryptocurrency markets are also watching for any regulatory implications. Florida's legislation could set a precedent for how state governments handle digital assets. The bill's focus on Bitcoin alone may also prompt further discussion about the eligibility of other cryptocurrencies.

The legislation's success will depend on committee support and final approval from both chambers. If passed, the bill would require further action to establish specific guidelines for asset management and reporting. These steps will be critical in ensuring the reserve's long-term viability and accountability.