A lawmaker in the Ohio House of Representatives has introduced a bill proposing the creation of a Bitcoin fund within the state treasury, making Ohio the third U.S. state to explore such an initiative.
Ohio Enters the Bitcoin Debate
In Ohio, Representative Derek Merrin introduced House Bill 703, also known as the “Ohio Bitcoin Reserve Act,” which seeks to allow the state treasury to invest public funds in Bitcoin.
Merrin shared news of the bill on his X-account Tuesday, emphasizing the potential of Bitcoin to enhance the state’s financial resilience. The bill proposes the creation of a dedicated Bitcoin fund within the state treasury and grants the treasurer the authority to purchase Bitcoin as part of “appropriate asset allocation.”
“This legislation creates the framework for Ohio state government to harness the power of Bitcoin to strengthen our state finances,” Merrin wrote.
The bill provides flexibility for the state treasurer, giving them the authority but not the obligation to invest in Bitcoin. Specifically, it amends section 2981.12 and enacts section 135.146 of the Ohio Revised Code.
“As the U.S. dollar devalues, Bitcoin provides a vehicle to supplement our state’s portfolio and prevent public funds from losing value,” Merrin stated, advocating for the state to embrace this innovative technology to protect taxpayers’ funds.
Merrin also suggested that President-elect Donald Trump may pursue a national Bitcoin reserve program, aligning with the president-elect’s campaign promises and legislative proposals by Senator Cynthia Lummis.
The bill’s introduction comes just two weeks before the 135th General Assembly closes on Dec. 31, 2024. If the legislation is not enacted before the session ends, it will perish and need to be reintroduced in the next General Assembly session beginning in January 2025.
Bitcoin as a Treasury Asset: A Growing Trend
Ohio joins a growing list of jurisdictions considering Bitcoin as a treasury asset. During his campaign, Trump floated the idea of creating a national Bitcoin reserve and has reiterated his commitment since winning the election in November.
Other U.S. states, such as Texas and Pennsylvania, have introduced similar bills, mirroring Trump’s vision. Internationally, lawmakers in Brazil and Russia have proposed similar measures, while Chile rejected a bill to incorporate Bitcoin into its central bank’s reserves. Vancouver, Canada, recently announced plans to explore Bitcoin integration at the municipal level.
The increasing adoption of Bitcoin as a treasury reserve asset reflects a broader recognition of its value. This movement coincides with Bitcoin’s ongoing bull market, where the cryptocurrency has achieved new record highs.
On Tuesday, Bitcoin reached an all-time high of over $108,000, boasting year-to-date gains exceeding 150%.
