Wyoming has taken a significant step toward incorporating Bitcoin into its state funds, introducing a bill titled “State Funds-investment in Bitcoin.” This legislation, which was presented ahead of Donald Trump’s presidential inauguration on January 20, 2025, would allow a portion of the state’s funds to be allocated for Bitcoin investments, making it one of the first states to take such an initiative. If the bill passes, Wyoming would join a growing number of states that are embracing cryptocurrency as a strategic financial asset.
The bill, introduced on January 17 by Wyoming Senator Cynthia Lummis, allows the state treasurer to invest in Bitcoin using funds from the general fund, the permanent Wyoming mineral trust fund, and the permanent land fund. However, the bill includes a safeguard, stipulating that no more than 3% of each fund can be invested in Bitcoin. In the event that the total market value of Bitcoin holdings exceeds this 3% threshold, the state treasurer would not be required to sell or reduce the investments to comply with the limit.
Senator Lummis, a prominent Bitcoin advocate, lauded the efforts of Wyoming Representative Jacob Wasserburger, who introduced the legislation. She praised Wasserburger for his forward-thinking approach, emphasizing that the bill would allow Wyoming to diversify its permanent funds into Bitcoin, positioning the state as a leader in financial innovation.
“This forward-thinking approach will benefit our state as we lead the nation in financial innovation,” Lummis wrote in a post on X (formerly Twitter).
This legislative move aligns with Lummis’s broader advocacy for Bitcoin and cryptocurrency adoption. In July 2024, she introduced a similar bill at the federal level aimed at creating a U.S. government Bitcoin Strategic Reserve. Her push for Bitcoin integration into public finances comes as the U.S. government holds a significant amount of Bitcoin, seized during the Silk Road asset forfeiture. Lummis has been vocal in her opposition to the government’s potential sale of 69,370 Bitcoins, calling it politically motivated and counterproductive.
Wyoming's proposal is part of a broader trend, as more U.S. states continue to explore ways to incorporate Bitcoin into their financial systems. States like Pennsylvania, Texas, Ohio, New Hampshire, Oklahoma, North Dakota, and Massachusetts have all put forward similar bills, signaling a shift toward the acceptance and institutionalization of cryptocurrency in state governance.
The momentum for Bitcoin reserves at the state level comes as speculation grows about the possibility of a national Bitcoin reserve under President Trump’s administration. According to betting markets Kalshi and Polymarket, the odds of Trump establishing a strategic Bitcoin reserve are rising ahead of his January 20 inauguration.
Wyoming’s bold step towards a Strategic Bitcoin Reserve positions the state as a pioneer in the integration of cryptocurrency into state finances, signaling a potential shift toward broader Bitcoin adoption across the United States. With several other states already pursuing similar initiatives, it appears that Bitcoin’s role in public finance may continue to grow in the coming years.
January 2025, Cryptoniteuae