Could Missouri become the next state to enter into the world of Bitcoin? A new bill is making it possible by suggesting the state create a Bitcoin reserve fund and accept crypto for payments.
A new, attractive financial product
Missouri Representative Ben Keathley introduced House Bill 1217, which proposes a Bitcoin Strategic Reserve Fund to diversify the state’s investment portfolio.
Think of it as a hedge against good ol’ fiat currency inflation. If this bill becomes law, the Missouri treasurer would be able to receive, invest, and hold Bitcoin under certain circumstances.
Keathley suggests that the state treasurer should oversee this Bitcoin Strategic Reserve Fund.
The fund could also receive Bitcoin through gifts and donations from government entities and Missouri residents.
Medium of exchange for the state too
The bill would also require all government entities in Missouri to accept cryptocurrency for things like taxes, fees, and fines.
The Department of Revenue would decide what crypto uses are approved. There’s a catch, though, as you’d have to cover the transaction fees.
Keathley’s HB 1217 also proposes a long-term Bitcoin hodl strategy for Missouri. The treasurer would have to store all Bitcoin collected for a minimum of five years.
The legislation would give the Missouri state treasurer the power to invest, purchase, and hold Bitcoin using state funds.
So, Missouri could become a major Bitcoin player. The proposed start date for HB 1217 is August 28, but that could change.
One domino after another
Missouri isn’t alone in this Bitcoin exploration, as Utah is also considering a similar move.
Utah’s House Bill 230, introduced by Representative Jordan Teuscher, would allow the state treasurer to allocate up to 5% of certain public funds to buyqualifying digital assets,” including BTC, high-cap crypto assets, and stablecoins.
As of February 7, 17 out of 50 U.S. states have started talking about establishing Bitcoin strategic reserves, according to bitcoinlaws.io.
Besides Utah, other states mulling similar legislation include Arizona, Kentucky, New Hampshire, North Dakota, Wyoming, and South Dakota.
