Tennessee lawmakers have superior a invoice that will enable the state to carry bitcoin as a part of its public monetary reserves.
Invoice particulars and limits
State Rep. Jody Barrett launched the proposal this month.
The invoice would give the state treasurer authority to allocate cash from the final fund, the income fluctuation reserve, or different state funds accepted by lawmakers into bitcoin.
The proposal caps publicity to bitcoin at 10% of eligible funds on the time of buy.
It additionally limits annual purchases to five% of a fiscal yr till the general cap is reached.
The invoice would enable passive positive aspects to push holdings above the restrict with out forcing gross sales.
Bitcoin-only mandate
The laws is proscribed to bitcoin and wouldn’t allocate cash to different digital property.
The Tennessee proposal follows comparable efforts elsewhere.
In South Dakota and Kansas, legislators have launched payments that will allow public funds to be allotted to bitcoin investments.
Mining guidelines and rip-off issues
The invoice’s progress comes alongside different bitcoin-related coverage exercise within the state.
Tennessee just lately accepted modifications to zoning rules aimed toward guiding the place bitcoin mining services can function.
The report additionally cited rising scams tied to bitcoin ATMs, with greater than $250 million reportedly misplaced by shoppers in 2024.
The Tennessee Sheriffs’ Affiliation has urged a ban on bitcoin ATMs following a pointy rise in scams in 2023.