Pennsylvania embraces Bitcoin! Legislators propose investing up to 10% of state funds in Bitcoin

The Pennsylvania House of Representatives recently proposed a bill allowing the state Treasury to invest up to 10% of state funds in Bitcoin (btc), aimed at combating inflation and providing stability during times of economic uncertainty.

According to Republican Congressman Mike Cabell's proposal, the Pennsylvania Treasury Department can allocate up to 10% of its assets from general funds, rainy day funds, and state investment funds to Bitcoin. This proposal is known as the "Strategic Bitcoin Reserve" Act (HB 2664). As of November, the state general fund had over $9.7 billion, while the rainy day fund had about $7 billion.

Mike Cabell stated in the memo that Bitcoin, as a hedge against inflation, can provide stability during times of economic uncertainty. He also cited large investment firms such as BlackRock and Fidelity, arguing that these companies have turned to Bitcoin to cope with economic fluctuations, providing reference for the implementation of the bill.

The framework of the bill draws on the strategy proposed by the Bitcoin advocacy group Satoshi Action Fund and has received joint proposal support from Congressman Aaron Kaufer. However, it should be emphasized that it is currently unclear whether the bill has enough votes in favor.

It is worth mentioning that Pennsylvania maintains a relatively open attitude towards cryptocurrency. In October of this year, the Pennsylvania House of Representatives passed another bill (HB 2481) drafted by the Satoshi Action Fund, which established a regulatory framework to protect autonomous custody and cryptocurrency payments, known as the "Bitcoin Rights" Act.

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