 
 
Montana’s attempt to top up its coffers with Bitcoin (BTC) was thwarted on Feb. 21 when the state’s House of Representatives voted against a bill that would have made the world’s oldest and most valuable digital currency a state reserve asset.
Montana House Rejects Bitcoin Reserve Bill
House Bill 429, presented earlier this month by Representative Curtis Schomer, aimed to establish a special revenue account allowing up to $50 million in investment in stablecoins, precious metals, and crypto assets with an average market capitalization of over $750 billion during the past calendar year — a criterion that only Bitcoin currently meets.
According to Schomer, the goal was to diversify the state’s assets and potentially create higher returns than traditional bond investments.
Despite some support, opposition, citing the speculative nature of the investment, prevailed — resulting in a 41-59 vote in the House.
Many Republicans were concerned that the proposal would have allowed Montana’s investment board to speculate too heavily with taxpayer money. “It’s still taxpayer money, and we’re responsible for it, and we need to protect it,” State rep Steven Kelly stated during the House Floor Session on Friday, adding that “these types of investments are way too risky.”
 
This came just a few days after Montana’s business and labor committee passed House Bill 429 in a 12-8 vote, with all Republicans voting in favor and all Democrats opposing. The bill is now basically dead, meaning that any future Bitcoin reserve bill would need to be introduced afresh into Montana’s legislature.
State And National Pushes For Bitcoin Reserve
While Montana is erring on the side of caution, the push for Bitcoin reserves is garnering momentum elsewhere, with multiple other U.S. states advancing further toward integrating digital assets into public finance.
Approximately 24 states, including Arizona, Illinois, Maryland, New Hampshire, New Mexico, Kentucky, Ohio, Pennsylvania, North Dakota, South Dakota, Texas, Oklahoma, and Georgia, have introduced legislation to create a Bitcoin reserve.
Utah’s HB230 Blockchain and Digital Innovation Amendments bill, which allows the state treasurer to allocate around 5% of public resources to digital assets, has made the most regulatory progress so far.
In the meantime, countries like Switzerland, Brazil, Japan, and Russia are also considering adding Bitcoin to their strategic national reserves.
Source: https://zycrypto.com/montana-says-no-to-strategic-bitcoin-reserve-proposal/