16 U.S. States Are Moving to Create Bitcoin Reserves – Is This the Future of Money?

The idea of a U.S. Bitcoin Reserve first gained attention in 2024 when Donald Trump suggested it during his presidential campaign. His remarks sparked ongoing debate about whether the federal government should officially hold Bitcoin as part of its financial assets. However, while Washington remains undecided, individual states are taking action.

Ad

Several states have started working on their own Bitcoin reserve proposals, aiming to integrate cryptocurrency into their public funds. With growing momentum, some states are already introducing legislation to make this a reality.

Here is a look at the key players and their strategies for embracing Bitcoin at the state level.

Advertisement

Utah Advances Bitcoin Reserve Legislation

Utah is emerging as a frontrunner in establishing a state-backed Bitcoin reserve. On January 28, a state House committee voted 8-1 in favor of the Blockchain and Digital Innovation Amendments bill. If passed, this legislation would allow Utah to invest a portion of its public funds into Bitcoin and other digital assets.

Utah has been proactive in the crypto space for several years. In 2022, the state formed a digital asset task force to explore cryptocurrency-related policies and develop a framework for future investments.

Texas Prioritizes a Bitcoin Reserve for 2025

Texas is also taking significant steps toward integrating Bitcoin into its financial planning. Lieutenant Governor Dan Patrick recently listed a Texas Bitcoin Reserve as one of his top legislative priorities for 2025.

On January 16, State Senator Charles Schwertner introduced a bill supporting the creation of a Bitcoin reserve fund, arguing that Bitcoin could strengthen Texas' position in the digital economy while promoting financial independence. If the initiative moves forward, Texas could become one of the first states to officially hold Bitcoin as a reserve asset.

Arizona Progresses with Bitcoin Investment Plans

Arizona has also taken key steps toward adopting Bitcoin as a financial asset. In January 2025, the Arizona Senate Finance Committee approved the Arizona Strategic Bitcoin Reserve Act with a 5-2 vote.

The bill, co-sponsored by State Senator Wendy Rogers and State Representative Jeff Weninger, would allow the state treasurer and retirement funds to allocate up to 10% of public funds into Bitcoin and other digital currencies. If passed, Arizona would officially become one of the first states to hold Bitcoin in its financial portfolio.

Illinois Introduces Long-Term Bitcoin Holding Plan

Illinois is also working toward creating a state-backed Bitcoin reserve. House Bill 1844, introduced by State Representative John Cabello, aims to establish a Bitcoin fund managed by the state treasury.

What sets Illinois apart is its long-term investment approach. The bill includes a mandatory five-year holding period, meaning the state would be required to hold its Bitcoin investments for at least five years before it could sell, transfer, or convert them into another asset.

Other States Exploring Bitcoin Reserves

The movement toward state-backed Bitcoin reserves is gaining momentum, with more states considering similar proposals. Pennsylvania was one of the first to introduce a Bitcoin reserve bill in November 2024, and several others are following suit, including:

• Florida

• Alabama

• Massachusetts

• Kentucky

• Montana

• New Hampshire

• North Dakota

• Oklahoma

• Ohio

• South Dakota

• Wyoming

Will More States Follow?

With 16 states actively working on Bitcoin reserve plans, this trend could reshape how governments approach digital assets. If these states successfully integrate Bitcoin into their financial reserves, it may encourage others to follow suit, creating a state-driven shift toward cryptocurrency adoption.

While state governments are moving forward, the Trump administration has not yet outlined a clear stance on a federal Bitcoin Reserve. It remains to be seen whether the U.S. government will officially add Bitcoin to its national financial holdings. However, with individual states leading the charge, the possibility of wider adoption is becoming harder to ignore.

Also Read: U.S. and Global Governments Eye Bitcoin Reserves, Could This Change Crypto Forever?