New Hampshire Becomes the First US State to Establish a Bitcoin Reserve

New Hampshire has become the first U.S. state to establish a strategic Bitcoin reserve after HB 302 was passed and signed into law.

The bill, which authorizes the state treasurer to allocate up to 5% of public funds to Bitcoin and other digital assets, was introduced in January and proposes allocating public funds into precious metals and top-tier digital assets with a market capitalization of over $500 billion.

As of now, Bitcoin’s market cap stands at approximately $1.9 trillion, according to TradingView.

The legislation also mandates that digital assets must be held using highly secure custody solutions, either directly by the state through a state-controlled multisig wallet, by a qualified custodian, or via U.S.-regulated exchange-traded products (ETPs).

Announcing the development, Dennis Porter, CEO and Co-Founder of crypto advocacy group Satoshi Action Fund, said:

“Satoshi Action drafted the model, New Hampshire engraved it into law, and now every treasurer nationwide can follow that roadmap. HB 302 proves you can protect taxpayer money, diversify reserves, and future-proof state treasuries—all while embracing the most secure monetary network on Earth. New Hampshire didn’t just pass a bill; it sparked a movement.”

The bill was largely driven by Representative Keith Ammon, an early Bitcoin advocate and Satoshi Action’s “Lawmaker of the Year,” along with Majority Leader Jason Osborne who helped guide the legislation to passage.

Ammon had previously introduced a similar bill last year, which passed the House but stalled in the Senate. However, with the full support of both parties and a strong push from members of the House, the bill was successfully passed during this year’s legislative session.

Ammon stated that he was optimistic about the bill’s chances in the Senate, considering the bipartisan support it received in the House.

The new law will take effect 60 days after passage, setting the stage for the state to begin acquiring digital assets for its reserves.

Meanwhile, other states like Arizona and Texas are also exploring similar crypto initiatives, though not all proposals have been approved.

Just last week, Arizona Governor Katie Hobbs vetoed a bill that would have allowed the state to invest in Bitcoin and other digital assets. Senate Bill 1025, also known as the Arizona Strategic Bitcoin Reserve Act, aimed to allocate up to 10% of state treasury and pension assets to digital assets.

The bill, which was passed by both the state House and Senate earlier this year, faced strong opposition from the governor, who ultimately decided against signing it.

Had the bill been approved, it would have permitted the state treasurer, in consultation with the state banking director and the state treasurer, to decide how to invest in digital assets.

The legislation also stipulated that digital assets could be held in a multisig wallet, directly with the state treasury, or through a qualified custodian.

Moreover, the bill mandated that at least 50% of the state’s treasury and pension assets must be invested in US Treasury bonds, in accordance with existing state law.

The bill was notably drafted by state legislators in response to a bill passed last year, which authorized cities, towns, and other government institutions in Arizona to invest in digital assets. However, that bill was limited to institutions that already had the authority to invest in stocks, bonds, or other securities.

In April, a bill in Florida that would have created a state-level strategic Bitcoin reserve was put on hold.

HB 487, which was filed by Representative Toby Overstreet and aimed to amend Section 16 of Chapter 65 to allow certain state funds to be invested in Bitcoin, was tabled by the Appropriations Committee.

The bill, which had bipartisan support and was approved by the House Economic Opportunity & Development Committee in March, would have permitted investments in Bitcoin from state funds that are not used for operating expenses and that are authorized for investing in stocks, bonds, or other securities.

The bill also stipulated that investment decisions would be made by the board, commission, or body managing the funds, taking into consideration factors such as risk management, diversification, and the best interest of the funds.

However, despite receiving approval from the House floor on April 3, HB 487 was later indefinitely postponed and withdrawn from consideration as the 2025 legislative session came to an end on May 2.

Ammon, who is known for his advocacy of sound money principles and his role in advancing legislation related to Bitcoin, said:

“We’re incredibly grateful to Representative Ammon for his unwavering commitment to this bill and to introducing the best version of the bill possible to the House floor.”

Osborne, who played a key role in securing the necessary votes and guiding the bill through the legislative process, added:

“We’re also deeply appreciative of Majority Leader Osborne’s leadership in guiding this bill to passage in the House. It wouldn’t have happened without his vision