Tag Archives: reserve

Kentucky joins growing list of US states to introduce Bitcoin reserve bill

Kentucky joins growing list of US states to introduce Bitcoin reserve bill

Kentucky has become the 16th US state to introduce legislation aimed at establishing a Bitcoin reserve, highlighting the growing adoption of digital assets at the state level.

The bill, KY HB376, was introduced by Kentucky State Representative Theodore Joseph Roberts on Feb. 6. If passed, it would authorize the State Investment Commission to allocate up to 10% of excess state reserves into digital assets, including Bitcoin. It states:

“The total amount of excess cash invested under subsection (9)(k), (l), and (m) of this section shall not, at the time of the investment is made, exceed ten percent (10%) of the total amount of excess cash invested under subsection (9) of this section.”

While the bill doesn’t mention particular cryptocurrencies, its criteria refer to digital assets other than stablecoins with a market capitalization of over $750 billion, which is averaged over the previous calendar year.

Bitcoin is the only cryptocurrency to fall under this criteria with its $1.9 trillion market capitalization. In comparison, Ether’s $330 billion market cap would need to grow over twofold to qualify for the potential reserve.

Kentucky became the 16th state in the US to introduce legislation for a Bitcoin reserve, following Arizona, Alabama, Florida, Massachusets, Missouri, New Hampshire, North Dakota,  South Dakota, Ohio, Oklahoma, Pennsylvania, Texas, Utah, Kansas and Wyoming.

Kentucky’s move may set a precedent for a federal Bitcoin reserve

As the 16th state to consider such regulation, Kentucky’s move may set a precedent for a federal-level strategic Bitcoin reserve, according to Anndy Lian, author and intergovernmental blockchain expert.

“If Kentucky moves forward, it creates a roadmap for others to follow,” Lian told Cointelegraph, adding:

“The SEC, the Fed, and even Congress will have to grapple with how to classify Bitcoin in public reserves — is it a commodity? A security? Something entirely new? This could accelerate regulatory clarity, but it also risks creating a patchwork of state-level rules that complicate national policy.

“Let’s not forget the consumer protection angle: if Bitcoin’s volatility tanks, taxpayers could be on the hook, which raises serious governance questions,” he added.

Despite the volatility-related concerns, Kentucky’s bill is a “massive vote of confidence in Bitcoin,” which could inspire more adoption, Lian said, adding:

“It could drive institutional interest through the roof, pushing other states and even countries to consider similar moves. But adoption isn’t just about price; it’s about infrastructure. Kentucky will need robust custody solutions, cybersecurity measures, and a clear exit strategy if things go south.”

Kentucky’s bill comes a week after the state of Illinois announced plans for a Bitcoin reserve bill that proposed a minimum BTC holding strategy of five years.

 

Source: https://cointelegraph.com/news/kentucky-introduces-bitcoin-reserve-bill-as-16th-state-to-pursue-btc-reserves

Anndy Lian is an early blockchain adopter and experienced serial entrepreneur who is known for his work in the government sector. He is a best selling book author- “NFT: From Zero to Hero” and “Blockchain Revolution 2030”.

Currently, he is appointed as the Chief Digital Advisor at Mongolia Productivity Organization, championing national digitization. Prior to his current appointments, he was the Chairman of BigONE Exchange, a global top 30 ranked crypto spot exchange and was also the Advisory Board Member for Hyundai DAC, the blockchain arm of South Korea’s largest car manufacturer Hyundai Motor Group. Lian played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.

An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.

www.anndy.com
j j j

Monetary Tightening And Slow Progress In Bitcoin Reserve Could Disrupt Current Bull Cycle

Monetary Tightening And Slow Progress In Bitcoin Reserve Could Disrupt Current Bull Cycle

As the US remains the key catalyst of cryptocurrency market sentiment, it could also be the one that could halt or slow its advance. This comes despite the efforts of President Donald Trump to introduce positive reforms to the digital assets industry.

Monetary Tightening Does Not Bode Well for Bitcoin

Bitcoin (BTC)—as with any other class—is reactive to monetary policies. Sentiment within its sector is particularly driven by events affecting the global reserve currency, the US dollar. Hence, the expected tightening in the fiat money’s liquidity could postpone Bitcoin’s expected climb to all-new heights within the foreseeable future.

Arthur Hayes, co-founder and former CEO of BitMEX, recently identified key events in the US that could put the brakes on the ongoing Bitcoin bull cycle. Borrowing some insights from Swiss investor and strategist Felix Zulauf, he indicated that the US fiscal deficit is declining. Meanwhile, the Treasury General Account (TGA), the government’s operating account, has increased its cash balance amid the national debt surpassing the US’ self-imposed debt cap of $36 trillion. In addition, he noted a reduction in foreign loans by US banks.

A decline in fiscal deficit is definitely a good economic indicator. It could hold the key to cutting down inflation based on the Economic Letter of the Federal Bank of San Francisco. However, its aggressive implementation could also mean less liquidity within the financial system.

In response to Hayes, Anndy Lian, author of several books about blockchain technology, stated that tighter control on the monetary supply could trigger an economic slowdown and higher borrowing costs. Moreover, it could lead to a more challenging environment for risk assets like crypto.

It’s worth noting that the previous bull cycles have been boosted by fiscal policies that resulted in more capital inflows in risk assets, such as Bitcoin and other cryptocurrencies. The looming scenario, including the increasing TGA balance and more restrictive foreign loans, could curb this effect.

Slow Progress in Proposed National Bitcoin Reserve

US AI and Crypto Czar David Sacks earlier confirmed that they are now studying the potential adoption of Bitcoin into the national reserve. Although the news signals significant progress in Trump’s campaign promise, many in the crypto community regard the latest developments to be slower than they initially expected.

For them, Trump’s win was almost a guarantee of the plan’s execution, considering that Senator Cynthia Lummis has already initiated the groundwork in Congress. Sack’s recent statement that they are still in the initial stage of studying such a prospect didn’t sit well with several Bitcoin advocates.

Bianco Research President Jim Banco echoed the same thoughts, saying, “Wait, Trump said he would do a BTC Reserve, not promise to ‘evaluate it.’” He added that Washington tends to use the term “evaluate” or “study” when it has not fully bought into the idea yet.

Trump’s executive order during his first day in office mentioned the creation of a “digital asset stockpile.” Still, some analysts interpreted the lack of reference for a Bitcoin reserve as a sign of hesitance in its execution.

 

Source: https://blockzeit.com/monetary-tightening-and-slow-progress-in-bitcoin-reserve-could-disrupt-current-bull-cycle/

 

Anndy Lian is an early blockchain adopter and experienced serial entrepreneur who is known for his work in the government sector. He is a best selling book author- “NFT: From Zero to Hero” and “Blockchain Revolution 2030”.

Currently, he is appointed as the Chief Digital Advisor at Mongolia Productivity Organization, championing national digitization. Prior to his current appointments, he was the Chairman of BigONE Exchange, a global top 30 ranked crypto spot exchange and was also the Advisory Board Member for Hyundai DAC, the blockchain arm of South Korea’s largest car manufacturer Hyundai Motor Group. Lian played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.

An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.

www.anndy.com
j j j

Arizona Senate moves forward with Bitcoin reserve legislation

Arizona Senate moves forward with Bitcoin reserve legislation

Arizona lawmakers have advanced a Bitcoin strategic reserve bill, which seeks to deploy the world’s first cryptocurrency as a savings technology for the state.

The Strategic Bitcoin Reserve Act (SB1025), co-sponsored by Senator Wendy Rogers and Representative Jeff Weninger, was passed by the Arizona State Senate Finance Committee with a five to two vote on Jan. 27.

The bill will now move to the Senate Rules Committee for final debate and amendments. Approval by the Senate would advance the bill to the House of Representatives.

The bill proposes the creation of a strategic Bitcoin reserve by the US Treasury for “the storage of government Bitcoin holdings,” which would also allow other public funds to store their digital assets in a “secure, segregated account within the strategic Bitcoin reserve.”

The bill would allow up to 10% of a government entity’s or public fund’s capital to be invested in Bitcoin and other digital assets. It also opens the door for pension funds to allocate resources to Bitcoin, potentially increasing public interest in cryptocurrencies.

Up to 20% of Gen Z and Alpha are already open to receiving pensions in cryptocurrency, while 78% expressed greater trust in “alternative retirement savings options” over traditional pension funds, Cointelegraph reported on Jan. 16.

Arizona’s decision to include Bitcoin in its financial strategy could lead to a domino effect among other states, according to Anndy Lian, author and intergovernmental blockchain expert.

He told Cointelegraph:

“Imagine if your state decided to put some of your tax dollars into Bitcoin; it might encourage places like Texas or Pennsylvania, where they’ve already been talking about similar ideas, to jump on the bandwagon quicker.”

However, Lian cautioned that a Bitcoin reserve would require safeguards due to cryptocurrency’s volatility, noting that taxpayers could face financial risks similar to those encountered by crypto investors.

Bitcoin price to $1 million on federal Bitcoin Reserve Act?

As one of the most anticipated crypto-related bills in history, the Bitcoin Act — championed by Wyoming Republican Senator Cynthia Lummis — has generated significant excitement among investors.

The nationwide approval of a US Bitcoin reserve could push Bitcoin above the seven-figure mark as soon as this cycle, according to Adam Back, co-founder and CEO of Blockstream, the inventor of Hashcash and one of the most notable cryptographers in the industry.

The potential approval could lead to a rapid price appreciation, as market participants have yet to price in this likelihood, wrote Back in a Nov. 18 X post.

There are at least 13 other Bitcoin reserve-related bills at various stages in states such as Massachusetts, Pennsylvania, Kansas, New Hampshire, Wyoming, Ohio, Utah and North Dakota, according to Bitcoinlaws.io.

Bitcoin reserve proposals are gaining support across the US thanks to President Donald Trump’s pro-crypto policies and recent executive order on crypto.

The success of the bill could bring an influx of new institutional Bitcoin adopters, according to Anastasija Plotnikova, co-founder and CEO of Fideum.

The regulatory expert told Cointelegraph:

“Analysts suggest it could drive Bitcoin’s price toward $500,000 while attracting institutional investors like pension and sovereign wealth funds, further legitimizing Bitcoin as an asset class.”

 

Source: https://cointelegraph.com/news/arizona-bitcoin-reserve-bill-passes-senate

Anndy Lian is an early blockchain adopter and experienced serial entrepreneur who is known for his work in the government sector. He is a best selling book author- “NFT: From Zero to Hero” and “Blockchain Revolution 2030”.

Currently, he is appointed as the Chief Digital Advisor at Mongolia Productivity Organization, championing national digitization. Prior to his current appointments, he was the Chairman of BigONE Exchange, a global top 30 ranked crypto spot exchange and was also the Advisory Board Member for Hyundai DAC, the blockchain arm of South Korea’s largest car manufacturer Hyundai Motor Group. Lian played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.

An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.

www.anndy.com
j j j