Florida Removes Two Bills Relating to Bitcoin Reserve from the Crypto-legislative Process

The US state of Florida has removed two bills relating to Bitcoin reserve from the crypto-legislative process, which could be a major blow to America's ambitious crypto reserve plans.

Florida Says No To Bitcoin Reserves

Earlier this year, Florida lawmakers introduced two bills - House Bill 487 and Senate Bill 550 - in a push towards building the state's own Bitcoin fund.

Introduced in February, House Bill 487 sought to permit Florida's chief financial officer and the State Board of Administration to allocate up to 10% of specific state funds into Bitcoin. Similarly, Senate Bill 550 aimed to authorize the investment of public funds in Bitcoin.

However, the Florida Senate has decided not to move ahead with any Bitcoin reserve plans as of now.

"We're not going to be able to get House Bill 487 and Senate Bill 550 on the Senate floor this session," said a spokesperson for the Florida Senate.

"The bills, which would have permitted the state to invest a portion of its treasury in Bitcoin, will remain in the legislative process for an indefinite period."

Florida has joined the list of states that have stepped back from passing state-level crypto investment legislation. Alongside Wyoming, South Dakota, North Dakota, Pennsylvania, Montana, and Oklahoma, Bitcoin-related bills in these states have failed to clear House or Senate votes.

Last week, Roswell became the first U.S. city to build its Bitcoin fund, holding BTC as reserves. Just days after Arizona made significant progress on its strategic Bitcoin reserve legislation, Governor Katie Hobbs vetoed House Bill 1025 on May 3.

The Digital Assets Strategic Reserve bill aimed to allow Arizona to invest seized funds in Bitcoin, creating a state-managed reserve overseen by officials.

"I am returning House Bill 1025, which would create a so-called 'strategic reserve' out of unclaimed property and forfeited criminal assets to be invested in digital assets such as Bitcoin," Gov. Hobbs wrote in her veto letter.

"This bill is an attempt to insert new and untested investments into the State treasury in a way that could put the State's finances at risk."

The governor's veto comes despite bipartisan support for the bill, which passed the Arizona State House and Senate with overwhelming majorities.

The bill's supporters argued that it would help to diversify the state's investments and provide a hedge against inflation. They also noted that the bill would require strict oversight and reporting requirements to be met.

However, Gov. Hobbs expressed concerns about the potential for volatility and instability in the cryptocurrency market. She added that she was not convinced that the bill's provisions adequately protected the state's treasury.

"I am focused on bringing people together to support policies that will move our state forward," Gov. Hobbs said. "I am committed to working with the legislature on common-sense solutions that will benefit all Arizonans."

The governor's veto is a setback for those who had hoped to see Arizona become the first state in the U.S. to launch a state-level Bitcoin reserve. However, it is likely to spur further interest in and discussion of such initiatives at both the state and federal levels in the year to come.

Will Scott Bessent approve crypto reserve plans?

Following U.S. President Donald Trump's executive order in March 2025, U.S. Treasury Secretary Scott Bessent was set to deliver an assessment on the Bitcoin reserve plan yesterday, as of the May 5 deadline. However, no official announcement has been made so far in this regard by him.

The upcoming report from the U.S. Treasury Secretary on a Strategic BTC Reserve will deliver key insights into its legal and investment framework. The evaluation will also assess whether any legislative changes are needed to ensure the project's viability.

The report will determine if President Trump's executive order, issued in March 2025, initiating the creation of a Strategic BTC Reserve with the aim of diversifying U.S. government reserves, can be realized.

The executive order tasked the U.S. Treasury Secretary with examining the integration of BTC into the federal treasury portfolio, considering its implications for stability, solvency, and the broader financial system.

It will be interesting to see what the U.S. Treasury Secretary has to say about the Bitcoin reserve plan and whether he will recommend any changes to the president's executive order.

Any decision on the reserve plan could serve as a major catalyst for a new all-time high for BTC, which is currently flirting around $94,000 levels.