Missouri Eyes Bitcoin Reserve to Future-Proof State Finances

Missouri Representative Ben Keathley has introduced House Bill 1217, aiming to establish a Bitcoin Strategic Reserve Fund to diversify the state’s investment portfolio and hedge against fiat currency inflation. Filed on February 6, the bill would allow the Missouri state treasurer to receive, invest, and hold Bitcoin under specific conditions.

The proposed legislation outlines a state-managed Bitcoin reserve, funded through gifts and donations from government entities and Missouri residents. It also mandates that all government entities accept cryptocurrency payments for approved uses, including taxes, fees, and fines, with transaction costs covered by the payer.

Keathley’s bill includes a long-term Bitcoin holding strategy, requiring the treasurer to store Bitcoin for a minimum of five years from the date it enters state custody. This signals Missouri’s intent to treat Bitcoin as a long-term investment asset.

The bill would grant the state treasurer the authority to invest in Bitcoin using public funds, marking a significant step in integrating cryptocurrency into state financial strategies. If passed, the bill is set to take effect on August 28, though legislative discussions could alter this timeline.

Missouri follows a growing trend among U.S. states exploring Bitcoin reserves. Utah's House Bill 230, introduced by Representative Jordan Teuscher on January 21, is advancing through legislation, allowing up to 5% of certain public funds to be invested in digital assets.

As of February 7, at least 16 states are discussing similar Bitcoin reserve policies, with Arizona, Kentucky, New Hampshire, North Dakota, Wyoming, and South Dakota considering comparable initiatives. Missouri’s move reflects the increasing interest in cryptocurrency adoption at the state level.