Missouri Representative Ben Keathley introduced House Bill 1217, aiming to establish a Bitcoin Strategic Reserve Fund to diversify the state's investment portfolio and hedge against fiat currency inflation. Filed on February 6, the bill would permit the Missouri treasurer to "receive, invest, and hold Bitcoin under certain circumstances."

The proposed legislation outlines the creation of a Bitcoin reserve that would be managed by the state treasurer. Keathley's bill suggests that this fund could receive Bitcoin through gifts and donations from government entities and residents of Missouri. Additionally, the bill would mandate all government entities in the state to accept cryptocurrency for approved uses, such as taxes, fees, and fines, with the stipulation that transaction fees would be the responsibility of the payers.

Keathley also proposed a long-term Bitcoin holding strategy, stating, "The treasurer shall store all Bitcoin collected under sub-section 2 of this section for a minimum of five years from the date that the Bitcoin enters the state’s custody." This approach signifies an intention to leverage Bitcoin as a long-term investment for the state.

The bill would confer upon the Missouri state treasurer the power to invest in Bitcoin using state funds, marking a significant step in the integration of cryptocurrencies into state-level financial strategies. The proposed effective date for House Bill 1217 is August 28, with the possibility of adjustments following further legislative discussions. As of the time of this report, a second hearing for the bill had not been scheduled.

Missouri's move follows a trend among US states exploring the incorporation of Bitcoin into their financial strategies. Utah is currently leading the charge, with House Bill 230, introduced on January 21 by Representative Jordan Teuscher, progressing through the legislative process. This bill would permit Utah's treasurer to invest up to 5% of certain public funds into "qualifying digital assets."

As of February 7, a total of 16 US states have entered discussions regarding the establishment of Bitcoin strategic reserves. These discussions are part of a broader national trend, with states such as Arizona, Kentucky, New Hampshire, North Dakota, Wyoming, and South Dakota also considering similar proposals.

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