Ohio Advances Bill to Invest 10% of Public Funds in Bitcoin

Ohio Representative Steve Demetriou is advocating for the establishment of a state Bitcoin reserve, following the passage of House Bill 116 in the state House. This bill aims to exempt crypto owners from minor tax burdens and formalize regulations around blockchain and digital assets in Ohio law. Demetriou emphasizes the importance of education and bipartisan support in advancing crypto legislation and pledges to reintroduce bills as necessary.

House Bill 18, known as the Ohio Strategic Cryptocurrency Reserve Act, would permit the state treasurer to invest up to 10% of certain public funds in “high-capitalization” cryptocurrencies. Although HB 18 does not reference Bitcoin specifically, a stipulation in the bill specifies that the treasurer may only invest in digital assets that are an “exchange-traded product and have an average market capitalization of at least $750 billion”—meaning the only eligible asset at this time is Bitcoin.

Demetriou is optimistic about Bitcoin’s future in Ohio but acknowledges that greater advocacy and public education are still needed. He believes that the bill intentionally focused on “digital assets” rather than Bitcoin to avoid picking winners and losers in the legislation. The bill is intended to protect digital asset owners from onerous compliance requirements, particularly for small transactions, and to create common-sense regulations around the industry.

While it remains to be seen if HB 116 reaches the desk of Governor DeWine, Demetriou is optimistic about its chances of being approved and signed into law. He highlights the growing acceptance of cryptocurrency in the United States and the need for the government to align with the will of the people. Nearly 2 million Ohioans own digital assets, and Demetriou believes that these assets are going to be critical to the future of the economy. He emphasizes that the people have spoken and that the government needs to follow their lead.

Demetriou’s efforts to advance digital asset legislation in Ohio are part of a broader push to position the state as a leader in digital finance. The Blockchain Basics Act, HB 116, is a foundational step toward this goal and a prelude to more ambitious efforts, including the creation of a state Bitcoin reserve. Demetriou is committed to continuing his advocacy for digital assets and believes that education and awareness are key to advancing this legislation.