Utah Advances Bill to Allow Crypto Investments in Public Funds

The Utah House Economic Development Committee has passed HB 230, the Blockchain and Digital Innovation Amendments, with an 8-1 vote on January 28. Introduced by Representative Jordan Teuscher on January 21, the bill would allow the state treasurer to invest up to 5% of select public funds in digital assets, including cryptocurrencies with a market cap over $500 billion and certain stablecoins.

A revised version of the bill, adopted on January 28, includes provisions for zoning restrictions on crypto mining. The bill now moves to a full House vote, followed by the Senate. If approved, it will be sent to Governor Spencer Cox for final approval. Cox, who previously signed a 2022 bill establishing a Blockchain and Digital Innovation Task Force, has shown support for crypto-related initiatives. If enacted, the law would take effect on May 7.

Utah joins a growing number of US states exploring cryptocurrency adoption. According to Bitcoin Reserve Monitor, at least 12 states, including neighboring Arizona and Wyoming, have introduced similar bills allowing public treasury investments in digital assets.

The bill mandates that Utah’s crypto holdings be stored with secure custody providers, qualified custodians, or exchange-traded products. It also permits the treasurer to engage in staking and lending activities under specific guidelines. Additionally, it prevents state and local governments from prohibiting cryptocurrency payments for legal goods and services.

The trend of state-backed crypto adoption extends beyond Utah. On January 28, South Dakota Representative Logan Manhart announced plans to introduce legislation establishing a Bitcoin reserve for the state.

With increasing state-level interest, cryptocurrency is steadily becoming a key part of public financial strategies in the U.S.