Montana House Rejects Bitcoin Reserve Bill
According to Cointelegraph, Montana's House of Representatives voted against a proposed bill that sought to make Bitcoin a state reserve asset. The vote, held on February 22, resulted in a 41-59 decision, with significant opposition from Republican lawmakers. The bill, known as House Bill No. 429, aimed to establish a special revenue account for investing in precious metals, stablecoins, and digital assets with a market cap exceeding $750 billion over the past year, a criterion currently met only by Bitcoin.
State Representative Steven Kelly expressed concerns about the potential risks associated with such investments, emphasizing the responsibility to protect taxpayer money. He stated, "It's still taxpayer money, and we're responsible for it, and we need to protect it." Representative Bill Mercer also opposed the bill, citing discomfort with granting the state's Board of Investments the authority to invest in cryptocurrencies and non-fungible tokens, describing it as speculative.
Despite the opposition, some lawmakers, including Representative Lee Demming, argued in favor of the bill, suggesting it could maximize returns on taxpayer funds. Demming stated, "If we're going to keep the taxpayer's money, I think we owe it to the taxpayers to get as high a return on that money that’s sitting in there, either that or you give it right back to them." Curtis Schomer, the bill's sponsor, warned that not passing the bill would result in a loss of purchasing power for the state's investment board.
The bill's failure comes shortly after it passed Montana's business and labor committee with a 12-8 vote on February 19, where all Republicans supported it, and all Democrats opposed it. With the bill now effectively dead, any future attempts to establish a Bitcoin reserve in Montana would require reintroduction into the legislature.
Montana is not alone in considering such legislation. Twenty-four states, including Arizona, Illinois, Kentucky, Maryland, New Hampshire, New Mexico, North Dakota, Ohio, Oklahoma, Pennsylvania, South Dakota, and Texas, have introduced similar bills. Of these, 20 remain active, as reported by Bitcoin Laws. Utah has made notable progress, with its HB230 "Blockchain and Digital Innovation Amendments" bill advancing through the Senate Revenue and Taxation Committee on February 20, moving towards further readings and a final Senate vote.
