Ohio introduces legislation for Bitcoin reserve, joining Pennsylvania and Russia in exploring digital currencies for financial stability.
Ohio State Representative Derek Merrin (R-Monclova Township) introduced new legislation on December 18. The bill, House Bill 703, is called the “Ohio Bitcoin Reserve Act.” It suggested the state Treasury be permitted to include BTC as an investment within its diversified investment portfolio.
The proposed bill calls for the establishment of a Bitcoin fund in the state treasury. This would allow the State Treasurer to purchase BMV or any other cryptocurrency and hold Bitcoin. It does not need any investment, but it does not have much demand at present either. Consequently, it sets the legal precedent for future Bitcoin transactions.
Bitcoin can be useful to Ohio, according to Representative Merrin. The US dollar is devaluing, while Bitcoin has no central authority, and there is only a limited number of coins. To Merrin, the bill is even a method of creating new and improving existing financial assets in Ohio.
Merrin used the X account to share the news about the proposal made by him, thereby stressing that people need to work for modern methods of financial solutions. Further, he said this was a strategic move that would help Ohio transform into modern financial solutions. It was a digital currency that could act as an economic hedge as well as against inflation, according to Merrin.
Ohio and Pennsylvania Lead US States in Bitcoin Reserve Legislation
Ohio is not the only state to consider Bitcoin. In November 2024, Pennsylvania Representative Mike Cabell put forward the Pennsylvania Bitcoin Strategic Reserve Act of 2024. In this bill, it was suggested to permit Pennsylvania’s state treasury to fund up to 10% of the significant state funds into Bitcoin. Meanwhile, Ohio and Pennsylvania share the opinion that Bitcoin is an effective means to hedge when it comes to money.
On the international level, similar ideas are being contemplated in Russia as well. On December 12, 2024, Anton Tkachev, a Russian State Duma Deputy, called for the establishment of a national Bitcoin reserve. According to Tkachev, Bitcoin has the potential to boost the country’s monetary stability while paving the way for the Russian economy outside the sphere of sanctions and currency fluctuations.
As state and international governments start looking at Bitcoin, digital currencies are slowly becoming a real financial instrument. Ultimately, the proposed legislation in Ohio shows more trends of people employing Bitcoin to boost government collection.
