Rep. Cody Maynard introduced House Bill 1203 to implement a strategic Bitcoin (BTC) reserve of up to $850 million in Oklahoma. This state is the sixth to receive such a proposal in the United States.
The legislation would allow the Oklahoma State Treasurer to allocate funds from the State General Fund, Revenue Stabilization Fund and Constitutional Reserve Fund to Bitcoin, digital assets with a market capitalization exceeding 500 billion dollars and stablecoins.
Notably, investments in these assets would be capped at 10% of the total value of the respective funds. According to his financial year reportOklahoma had collected $8.5 billion as of August 7, 2024.
The market capitalization limit currently allows investment only in Bitcoin. Ethereum (ETH) is the closest to meeting the requirement outside of BTC, but its price is expected to reach $4,150 with the current circulating supply of 120.5 million ETH.
If passed, the legislation would take effect on November 1, 2025.
Custody and other requirements
Digital assets acquired under the Act must be securely stored using advanced custody solutions, including geographically diverse data centers and strict multi-stakeholder governance protocols.
The bill also allows staking, a blockchain mechanism to validate transactions provided the state retains ownership of the staked assets.
Regarding stablecoins, investment in these tokens is permitted if they have received regulatory approval from entities in the United States, United Kingdom, Japan or the EU.
Additionally, the bill states that taxes and fees paid in Bitcoin must be deposited into the state’s General Fund, which would then reimburse designated accounts in U.S. dollars.
The law also allows public pension funds to invest directly in digital assets through secure custody solutions with qualified custodians or regulated exchange-traded products (ETPs).
Growing trend
Eight US states are pushing for a strategic Bitcoin reserve, and six of them officially introduced legislation on January 15.
Representative Mike Cabell introduced plans such a reservation in Pennsylvania on November 14, 2024. Less than a month later, Rep. Giovanni Capriglione proposed similar legislation in Texas.
Ohio became the third state to join the movement, according to lawmaker Derek Merrin. presented a bill proposing state-level adoption of Bitcoin on December 17, 2024.
New Hampshire And North Dakota followed suit last week, with lawmakers introducing legislation for a Bitcoin reserve in both states.
Dennis Porter, co-founder and CEO of the Satoshi Action Fund, supports legislative efforts in various U.S. states. He highlighted that the six states represent half of its goal of 12 states launching BTC reserve bills in the first quarter.
Meanwhile, Alabama State Auditor Andrew Sorrell recently called on the state to consider adding Bitcoin to its treasury to protect against inflation, while Florida Chief Financial Officer Jimmy Patronis recommended for the same decision.