Well, that was a fun ride while it lasted. Florida’s bold Bitcoin reserve dreams, backed by House Bill 487 and Senate Bill 550, were officially “indefinitely postponed” on May 3. The state’s legislative session wrapped up on May 2, without a vote on either bill, effectively pulling the plug on the proposal. Despite some initial buzz, it looks like the Sunshine State’s Bitcoin ambitions are going nowhere fast.
HB 487, introduced back in February, was all about investing public funds in Bitcoin. The bill passed its first committee hearing unanimously on April 10, giving BTC enthusiasts a glimmer of hope. The proposal suggested that Florida’s Chief Financial Officer and State Board of Administration could pour up to 10% of key public funds, including the General Revenue Fund and Budget Stabilization Fund, into Bitcoin. But, alas, it wasn’t meant to be.
The bill also included the option to lend Bitcoin and use it in exchange-traded products, with some very serious-sounding compliance and custody provisions. But apparently, Florida lawmakers weren’t quite ready to ride the crypto wave to the moon.
A Trend of Bitcoin Reserve Failures Across States
Florida’s Bitcoin stumble joins a long list of states that have seen their Bitcoin reserve efforts crash and burn. Wyoming, South Dakota, North Dakota, Pennsylvania, Montana, and Oklahoma have all tried, and failed, to pass similar bills recently. In Oklahoma’s case, HB 1203 had actually cleared multiple legislative hurdles but was voted down in committee after bipartisan pushback. So much for that idea.
This wave of failed bills is especially surprising given the growing love affair with Bitcoin as a potential hedge against inflation. Several lawmakers have pushed the idea as a bold way to modernize public finance and reduce the state’s reliance on traditional fiat currencies. But maybe public funds and volatile crypto just don’t mix as well as they hoped.
Arizona Still in the Running, Despite Setbacks
While Florida has taken a step back, Arizona is still trying to make it work, though not without its own drama. Arizona’s legislature passed SB 1025 and SB 1373 on April 28, which were meant to establish a Strategic Bitcoin Reserve. However, Governor Katie Hobbs wasn’t a fan, vetoing SB 1025 a few days later. She called digital assets “untested investments” and cited concerns about the state’s budget.
That veto didn’t stop Arizona cold, though. The state still has two active bills, HB 2749 and SB 1373. The former proposes a budget-neutral reserve funded by unclaimed property profits, while the latter seeks to allow up to 10% of state funds to be invested in digital assets. Will Arizona be the first to pull it off? Only time will tell—but it’s safe to say Florida won’t be joining that list anytime soon.
HODL Team
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