Pennsylvania lawmakers are considering a bill to create a strategic reserve of Bitcoin worth $700 million. If passed, this would make Pennsylvania the first US state to hold such a reserve.
The bill, introduced by Republican State Representative Mike Cabell, proposes allocating 10% of the state's $7 billion fund to Bitcoin. Supporters believe Bitcoin can act as a hedge against inflation and diversify the state's investments beyond traditional securities.
This follows a previous bipartisan bill in October, the Bitcoin Rights Act, which affirmed residents' rights to self-custody digital assets and use Bitcoin as payment. The new bill, titled the Pennsylvania Bitcoin Strategic Reserve Act, aims to bolster the state's economic resilience and innovation.
The Satoshi Action Fund (SAF), a Bitcoin advocacy group, is supporting this legislation and is reportedly pushing for similar bills in ten other states.
Bitcoin's price has surged following Donald Trump's election victory, partly due to his pro-Bitcoin stance during the campaign. After a 32.5% jump post-election, Bitcoin experienced a slight correction but remains up significantly year-to-date, fueled by factors including ETF approvals.
This is not investment advice. The author has no position in any of the stocks mentioned. Wccftech.com has a disclosure and ethics policy.
