New Hampshire First US State to Adopt Bitcoin Reserve Law
2min read New Hampshire has made history by becoming the first state in the United States to pass a Strategic Bitcoin Reserve Bill into law. The HB 302 Bill, introduced by Rep. Keith Ammon, was signed into law by Governor Kelly Ayotte, allowing the state to hold up to 5% of its funds in digital currencies. This groundbreaking legislation enables the state treasurer to purchase Bitcoin and other digital assets with a market capitalization of at least $500 billion, with Bitcoin being the only asset that currently meets this criterion.
The law mandates that the Bitcoin in the reserve must be kept in a state-controlled Multisig with a qualified custodian, ensuring that the assets are securely held. Additionally, the state can gain exposure to Bitcoin through exchange-traded funds (ETFs). This move by New Hampshire is part of a broader trend in the United States, where various regions are considering the adoption of crypto reserves.
The passage of the HB 302 Bill into law marks a significant milestone in the state's financial strategy. The legislation was introduced in January and gained momentum as the House assented in March. The law will not take effect until 60 days after Governor Ayotte's signature, providing ample time for implementation and preparation.
New Hampshire's decision to adopt a Bitcoin reserve complements the ongoing discussions at the federal level regarding crypto adoption. President Donald Trump had previously signed an Executive Order to establish a national crypto reserve, although there have been no major updates on this front. The Federal government has not committed taxpayers' money into Bitcoin, unlike New Hampshire's proactive approach.
The Strategic Bitcoin Reserve Bill in New Hampshire sets a precedent for other states considering similar measures. While Florida and Arizona have taken different approaches to their respective Bitcoin Reserve Bills, with Arizona's Governor Katie Hobbs vetoing the legislation, New Hampshire's move highlights the growing interest in digital assets as a reserve asset. This development could pave the way for other states to follow suit, potentially leading to a broader acceptance of Bitcoin and other digital currencies in the financial landscape.
Ask Aime: How does New Hampshire's HB 302 Bitcoin Reserve Bill impact the U.S. financial landscape?
Dennis Porter, the founder of the Satoshi Action Fund, praised the move, stating that New Hampshire had not just passed a bill but sparked a movement. He emphasized that the law allows for the protection of taxpayer money, diversification of reserves, and future-proofing of state treasuries by embracing the most secure monetary network on Earth.
Although New Hampshire is the first us state to approve a crypto reserve law, there is a slew of other states that have been making legislative efforts to set up a Bitcoin reserve. Notably, Arizona had been the first state to pass a similar bill to its governor’s desk, but the state’s governor recently vetoed the legislation. On May 5, Florida “indefinitely postponed” two crypto-related bills that would have helped create a Bitcoin reserve for the state, joining a number of other states whose attempts to back their treasury with Bitcoin have misfired, despite intensified national attention on the policy since President Donald Trump’s pledge.
