Massachusetts Bitcoin reserve bill sees quiet debut in legislature
The Massachusetts Bitcoin reserve bill, aimed at creating a strategic Bitcoin reserve for the state, received a muted response during its first hearing after eight months of legislative inaction. The proposed legislation, introduced by state Senator Peter Durant, was discussed on Tuesday in the Massachusetts Joint Committee on Revenue but garnered limited engagement from lawmakers.
Background of the Bitcoin reserve bill
Senator Peter Durant, a Republican, sponsored the bill titled “An Act relative to a Bitcoin strategic reserve.” If passed, the measure would allow the Massachusetts state treasury to invest up to 10% of the Commonwealth Stabilization Fund in cryptocurrencies. Additionally, any Bitcoin or other digital assets seized by authorities could be added to this reserve. Durant described the proposal as “a prudent diversification tool, ensuring full transparency, oversight, and risk management without mandating any action,” according to Cointelegraph.
Other states, including Texas, Arizona, and New Hampshire, have already enacted laws establishing crypto reserves. Several states, such as Wyoming and Montana, have paused or rejected similar proposals. Durant’s bill joins other Massachusetts legislation seeking to bolster the state’s digital asset holdings, including proposals by Representative Christopher Worrell and Senator Barry Finegold, focusing on investment in stable digital assets.
Committee reaction and testimony
At the hearing, Durant walked the committee through the technical aspects of the bill. He emphasized voluntary participation and risk management. Notably, when the committee opened the floor for questions, members did not respond to the proposal.
Dennis Porter, CEO of the Satoshi Action Fund, also testified. Porter advocated for the bill, citing Massachusetts’ position as a financial innovation leader, and suggested that establishing a strategic Bitcoin reserve could be a bipartisan effort. “There is no state better suited to lead than the Commonwealth of Massachusetts, a historic financial hub that pioneered America’s first mutual fund,” Porter stated, as reported by Cointelegraph.
Legislative outlook and context
The subdued response in committee reflects uncertainty about the bill’s prospects. Massachusetts’ legislature is dominated by Democrats, who hold a supermajority in both the House and Senate and control the governorship. Senator Durant is a Republican, and bipartisan support would be required for the bill to advance. It remains unclear what the next steps will be or whether the bill will progress through additional legislative stages.
The proposal follows a national trend of state-level digital asset strategies, particularly since the Trump administration’s March executive order encouraging strategic reserve considerations. Despite activity in some states, many legislatures have shown reluctance to engage in cryptocurrency reserve measures.
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