Ohio Senator Proposes Second Bitcoin Reserve Bill Creation

Highlights:

• Ohio’s Bitcoin reserve bill allows public funds to be invested in BTC with a five-year minimum holding period. 
• The proposal mandates that state agencies accept Bitcoin for payments, converting all received crypto into BTC for storage. 
• At least twelve U.S. states have introduced similar Bitcoin reserve legislations, signaling increasing government interest in cryptocurrency.

Ohio is moving forward with a proposal to create a Bitcoin reserve fund. Senator Sandra O’Brien introduced Senate Bill 57, which would allow the state treasurer to invest public funds exclusively in Bitcoin. Introduced on 28th January, the bill was referred to the Financial Institutions, Insurance, and Technology Committee for review the next day. The bill mandates that all Bitcoin acquired must be held for at least five years.

NEW: 🇺🇸 Ohio State Senator Sandra O'Brien introduced a bill to create a Bitcoin Reserve and require state entities to accept bitcoin as payment. pic.twitter.com/0vwQ5MNT3t

— Bitcoin Magazine (@BitcoinMagazine) February 4, 2025

If approved, Ohio’s treasury will manage Bitcoin holdings using secure custody solutions. The legislation also requires state agencies to accept Bitcoin for payments, including taxes, fines, and other government fees. The state will convert any cryptocurrency received into Bitcoin and transfer it to the reserve. Additionally, residents in Ohio, government agencies, and universities will be allowed to donate Bitcoin to the fund.

Senator O’Brien emphasized that Ohio should lead in digital asset adoption. She pointed to former President Donald Trump’s executive order, which established a working group to assess a national digital asset reserve.

I just introduced legislation to create an Ohio Bitcoin Reserve Fund. The crypto world is here, and Ohio needs to be a leader. Crypto will be a major part of President Trump’s term. When his working group issues recommendations, Ohio will be ready.

— State Senator Sandra O'Brien (@OBrienOH32) January 28, 2025

Ohio’s Growing Crypto Adoption

Ohio has in the past considered integrating cryptocurrencies in state operations. In December, Ohio House Republican leader Derek Merrin also came up with another Bill dubbed House Bill 703 proposing the use of Bitcoin investments for the state reserves. Furthermore, Ohio’s state senator, Niraj Antani, proposed a bill allowing the use of cryptocurrency for paying taxes and fees. Building on these recent measures, the new Bitcoin reserve bill goes further by providing a structure for state investment in and storage of Bitcoin.

O’Brien stated that the increased activity at the federal level can affect the state’s policies regarding digital assets. She highlighted that given Trump’s executive order to federal agencies to research the digital asset reserve, Ohio needed to be ready. Consequently, this aligns with the broader national discussions on Bitcoin’s role as a financial asset.

Other U.S. States Pursuing Bitcoin Reserves

Ohio is not the only state in the United States considering legislation for a strategic Bitcoin reserve. Utah, Arizona, and South Dakota are among other states, which have considered similar bills. A House committee in Utah voted in favor of a bill that will enable the use of some of the treasury funds for digital assets. Moreover, Texas introduced the Texas Strategic Bitcoin Reserve Act, requiring the state to hold Bitcoin as a reserve asset for at least five years.

The die is cast.
Nation-States, States, Companies & Individuals are clamoring to acquire Bitcoin.
Stack. HODL. Prosper.
Bitcoin 🚀 pic.twitter.com/PY40cwgF93

— Eric Weiss ⚡️ (@Eric_BIGfund) January 31, 2025

On January 28th, the Arizona Senate gave a green light to their strategic Bitcoin reserve bill, becoming the first US state to approve it. The Senate panel authorized public funds to invest more than 10% of their assets in virtual currencies. According to Bitcoin Reserve Monitor, at least twelve U.S. states have proposed legislation for Bitcoin reserves. The push for state Bitcoin reserves reflects a broader trend of cryptocurrency adoption at the government level.

Senator O’Brien’s Bitcoin reserve bill marks Ohio’s second attempt to formalize Bitcoin investments within state finances. The bill’s approval could position Ohio as a leader in government-backed cryptocurrency initiatives.