Key Points
- New Hampshire becomes the first U.S. state to pass a Bitcoin reserve bill, planning to diversify 5% of its state funds into digital assets.
- The Bitcoin law will be effective from July 2025, with other states potentially following suit.
New Hampshire has made a significant move in the cryptocurrency space by enacting a Bitcoin reserve bill.
This strategic decision makes it the first state in the U.S. to implement such a law.
New Hampshire’s Bitcoin Reserve
The bill, which originated from the Bitcoin advocacy group Satoshi Action Fund, allows the state to establish a Bitcoin and Digital Asset Reserve Fund.
Under the passed bill (HB 302), New Hampshire can purchase Bitcoin or any other digital asset with a market cap exceeding $500 billion.
The assets will be held by custodians or an ETF (exchange-traded fund), with a limit of 5% of the total state funds.
Nate Geraci of ETF Store lauded the move, calling it a wake-up call for those who dismiss crypto as a scam.
Arizona and New Hampshire were both in the running for setting up a strategic Bitcoin reserve, but Arizona’s proposal was vetoed by the governor due to potential risks to retirement funds.
Future Implications
The New Hampshire Bitcoin law will be operational after sixty days, meaning the market is eagerly waiting to see how much the state will allocate for its first Bitcoin purchase by July 2025.
Whether North Carolina and Texas will follow New Hampshire’s lead in implementing similar laws remains to be seen.
