US states advance major Bitcoin and crypto bills

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In March 2025, several U.S. states, including Kentucky, North Carolina, and Arizona, made significant strides in adopting cryptocurrency into their financial systems.

Lawmakers are proposing and passing bills that support Bitcoin reserves, crypto mining, and digital asset investments. This shift shows that many see cryptocurrency as a valuable financial asset rather than just a speculative tool.

In Kentucky, the governor signed the “Blockchain Digital Asset Act” (HB701) on March 24. This law allows residents to hold Bitcoin and provides benefits to crypto mining companies. The Senate passed the bill unanimously, indicating strong support. Kentucky is becoming a major mining hub, currently accounting for 11% of the U.S. Bitcoin hashrate, thanks to its access to coal and hydropower.

North Carolina is also making progress. Lawmakers introduced three bills to invest public funds in digital assets. Bills H506 and S709 allow up to 5% of state funds to be invested in digital assets, while H92 proposes increasing that to 10% for strategic reserves. These measures aim to protect public funds from inflation and create long-term value through crypto investments.

Arizona is following suit with two approved bills—SB1373 and SB1025. SB1373 allows the state treasurer to create a digital asset reserve from seized criminal assets, investing up to 10% of that reserve. SB1025 permits Arizona to invest up to 10% of treasury and pension funds into Bitcoin. This could enhance the safety of their holdings if the federal government establishes a Bitcoin reserve fund.

Oklahoma is also getting involved with the Strategic Bitcoin Reserve Bill (HB1203), which allows public funds to be invested in Bitcoin and other digital assets. Over 20 states are considering similar plans, with 23 states introducing Bitcoin reserve bills. Experts estimate these efforts could lead to up to $23 billion in Bitcoin purchases.

The momentum for these state-level initiatives has increased since the Trump administration supported Bitcoin, paving the way for states to align with national crypto policies. Overall, the U.S. is moving toward integrating cryptocurrency into public finance, laying the groundwork for a future where digital assets are central to financial strategies.

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