cryptointelligence.co.uk
14 February 2025 06:59, UTC
Michigan is the latest U.S. state to introduce legislation for a strategic Bitcoin reserve, joining 19 others in advancing crypto-related investment bills.
On Feb. 13, Representatives Bryan Posthumus and Ron Robinson introduced HB 4087, aiming to amend Michigan’s Management and Budget Act to establish a Bitcoin reserve.
With this move, Michigan becomes the 20th state considering legislation on government-held crypto reserves.
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“Michigan can and should join Texas in leading on crypto policy by signing into law my bill creating the Michigan Crypto Strategic Reserve,” Posthumus stated on X.
His proposal follows a similar bill filed by Texas Senator Charles Schwertner on Feb. 12.
The Michigan bill would grant the state treasurer the authority to invest up to 10% of both the general fund and economic stabilization fund into cryptocurrency. However, it does not outline restrictions on which digital assets can be acquired.
A key provision in the bill allows for lending crypto, stating:
“If cryptocurrency can be loaned without increasing financial risk to this state, the state treasurer is permitted to loan the cryptocurrency to yield further return to this state.”
Crypto holdings must be managed through secure custody solutions or exchange-traded products offered by registered investment firms.
Michigan’s state pension fund already has exposure to Bitcoin and Ether through exchange-traded funds.
Posthumus also floated the idea of launching “MichCoin,” describing it as “a stablecoin, which I believe the state of Michigan should create” and one that “would have real value—tied to our gold and silver reserves.”
As of now, 20 states have progressed crypto reserve bills beyond the House committee stage. Texas is the most recent to introduce legislation, while North Dakota remains the only state to have rejected such a proposal.
