Lawmakers in Alabama and Minnesota are actively driving their states to invest in Bitcoin reserves. On April 1, 2025, Alabaman Senator Will Barfoot introduced Senate Bill 283, a proposal mirrored by House Bill 482, which Representative Mike Shaw and a bipartisan group of lawmakers filed the same day.
Senate Bill 283 (SB 283) aims to allow the state of Alabama to invest public funds in Bitcoin to integrate cryptocurrency into state financial reserves. The bill specifies that up to 10% of certain public funds can be allocated to digital assets, but only those with a market capitalization exceeding $750 billion.
As of now, Bitcoin is the only cryptocurrency that meets this threshold. The assets must be held directly by the state treasurer, a qualified custodian, or through exchange-traded products like ETFs.
On the same day, Representative Bernie Perryman filed the Minnesota Bitcoin Act in the state House. The bill allows Minnesota’s investment board, which oversees public funds, to allocate money directly into Bitcoin and other cryptocurrencies.
The Minnesota Bitcoin Act, or HF 2946, was introduced to the state’s House by Republican Representative Bernie Perryman on April 1, following an identical bill introduced on March 17 by GOP state Senator Jeremy Miller.
The proposals in these two states signal a serious commitment to incorporating Bitcoin into government financial strategies. The first U.S. state to introduce a bill proposing a cryptocurrency reserve, specifically a Bitcoin reserve, was Pennsylvania in November 2024.
As of April 3, 2025, at least 26 states have introduced Bitcoin reserve bills. These bills often suggest allocating up to a certain percentage of state funds to Bitcoin or other cryptocurrencies, reflecting a significant trend in state-level crypto adoption. Although Wisconsin stands out as the first to actually purchase Bitcoin ETFs, holding $588 million by Q4 2024.
It’s no surprise that more U.S. states are moving to include crypto in their treasuries. Trump has played a major role in this shift, as the idea of a Strategic Bitcoin Reserve gained momentum during his 2024 presidential campaign and became firmly established after his inauguration in January 2025.
On March 6, 2025, President Trump signed an executive order establishing the Strategic Bitcoin Reserve and a separate U.S. Digital Asset Stockpile, marking the most formal federal move toward integrating cryptocurrencies into national economic strategy.
The Strategic Bitcoin Reserve is anchored by the federal government’s existing Bitcoin holdings, estimated at 200,000 BTC (worth roughly $17-18 billion at early 2025 prices), seized from criminal and civil forfeiture proceedings.
The executive order, detailed in White House statements, mandates that these assets, which were previously auctioned off by the U.S. Marshals Service, will now be held as a reserve, not sold, positioning Bitcoin as a “digital gold” store of value, akin to the Strategic Petroleum Reserve.
Following the lead of the nation’s top leader, U.S. states are seeking similar strategies to hedge against economic downturns and ensure they don’t miss out on the wealth potential of the digital asset economy.
