North Carolina lawmakers have taken a significant step toward cryptocurrency adoption by introducing House Bill 92, allowing the state treasurer to invest in Bitcoin (BTC) and other digital assets that meet a market cap requirement of over $750 billion.
This move makes North Carolina the 20th US state to propose legislation for a Bitcoin reserve, following similar initiatives in Montana, Florida, Maryland, Iowa, and Kentucky.
Key Highlights of House Bill 92
- Investment Cap: The state treasurer can allocate up to 10% of public funds in qualifying digital assets.
- Market Cap Requirement: Only cryptocurrencies with a market capitalization exceeding $750 billion over the past 12 months qualify—currently, only Bitcoin meets this threshold.
- Regulated ETPs: Investments must be made through a regulated exchange-traded product (ETP) for added security.
- Funds Eligible for Investment: The General Fund, Highway Fund, and 24 other special funds fall under this legislation.
- Oversight & Security: The Governor and Council of State will oversee digital asset investments, while third-party investment managers must hold at least $100 million in assets under management.
Bitcoin Reserve Trend Grows Across the US
North Carolina joins a growing list of US states integrating Bitcoin into their financial strategies:
- Montana’s House Bill 429 proposes a $50 million investment in precious metals, stablecoins, and Bitcoin, requiring a $750 billion market cap for eligibility.
- Florida’s Bitcoin Investment Bill allows the Chief Financial Officer (CFO) to allocate up to 10% of public funds in Bitcoin, promoting it as a hedge against inflation.
- Maryland’s House Bill 1389 aims to create a Maryland Bitcoin Reserve Fund, funded by gambling violation penalties.
- Iowa’s House File 246 permits investment in Bitcoin, stablecoins, and precious metals, with a 5% cap on public funds.
- Kentucky’s House Bill 376 proposes Bitcoin investments up to 10% of excess state funds, enables digital asset payments, and bans central bank digital currencies (CBDCs).
Why States Are Turning to Bitcoin
With Bitcoin’s increasing institutional adoption, states view it as a strategic asset and an inflation hedge. As traditional financial systems face economic pressures, Bitcoin’s decentralized and deflationary nature makes it an attractive reserve option.
If North Carolina’s bill is approved, it could set a precedent for further Bitcoin integration across US states, strengthening its position as a state-backed asset.
What’s Next?
The bill now awaits further legislative review, and if passed, North Carolina could become a key player in state-level Bitcoin adoption. Crypto enthusiasts and investors should monitor upcoming policy decisions that could shape Bitcoin’s role in state treasury investments.
Stay tuned for official announcements and further developments in the US crypto legislation landscape.
