State lawmakers across America are rapidly developing cryptocurrency legislation as digital assets increasingly influence financial regulations. In early February alone, nine states introduced new laws targeting aspects of the digital currency market.
Following a $250 billion political investment in the 2024 elections, the crypto sector has intensified its legislative push. Regulatory efforts now span both federal and state levels, with multiple states unveiling crypto-related bills in recent weeks—more filings are expected soon.
North Carolina Pioneers Crypto Investment with New Bill
The NC Digital Asset Investments Act, introduced on February 10, empowers the state treasurer to invest in digital assets via exchange-traded products (ETPs). Key provisions:
- ETPs must have a minimum $750 billion market capitalization (based on prior-year data).
- State funds allocated to digital assets cannot exceed 10% of total investments.
State Representative Destin Hall emphasized that this bill positions North Carolina as a leader in technological innovation, aligning with former President Donald Trump’s cryptocurrency roadmap. The bill has cleared its preliminary legislative stage and is now under review by the Commerce and Economic Development Committee.
Michigan Competes for Crypto Leadership with New Policies
On February 13, Michigan Representatives Bryan Posthumus and Ron Robinson proposed a crypto reserve plan, allowing the state treasurer to allocate up to 10% of investments to digital assets. Highlights:
- MichCoin, a gold- and silver-backed cryptocurrency, is under consideration.
- The bill aims to balance high returns with minimal financial risk.
Michigan joins 19 other states with crypto-friendly policies, competing directly with hubs like Texas. A newly formed 17-expert committee will evaluate crypto’s economic and legal impacts, submitting findings by December 15, 2027.
👉 Why states are racing to adopt crypto policies
New York’s Unique Approach to Crypto Regulation
New York’s BitLicense framework faces criticism for stifling innovation. Mayor Eric Adams advocates scrapping it to boost competition in the crypto sector. A proposed task force could pave the way for more inclusive policies.
Texas Expands Its Blockchain Influence
Texas solidified its crypto leadership in January by proposing a Bitcoin-only reserve. New legislation (effective February 12) extends this to other cryptocurrencies meeting a $500 billion market cap threshold—currently, only Bitcoin qualifies.
Key changes:
- Removal of the $500 million spending cap, enabling unlimited Bitcoin reserves.
- Texas Senator Charles Schwertner ranks this among the Senate’s top 40 priority bills.
👉 How Texas became a crypto powerhouse
Additional States Joining the Crypto Movement
Five states—Florida, Utah, Ohio, Missouri, and Kentucky—launched Bitcoin reserve programs in February. While North Dakota and Wyoming rejected similar measures, the trend toward pro-crypto legislation continues.
FAQ Section
Q: Why are states rushing to regulate crypto?
A: Digital assets now significantly impact financial systems, prompting states to establish clear legal frameworks.
Q: Which state leads in crypto adoption?
A: Texas, due to its Bitcoin reserve proposal and elimination of investment caps.
Q: What’s the controversy around New York’s BitLicense?
A: Critics argue it creates barriers for crypto businesses, limiting innovation.
Q: How does Michigan’s MichCoin work?
A: It’s a proposed stablecoin backed by gold and silver reserves.
Q: Are there federal crypto regulations?
A: The U.S. Congress is actively debating nationwide policies for crypto and stablecoins.
The push for state-level crypto laws reflects growing recognition of digital assets as a mainstream financial tool. As regulations evolve, states like Texas and North Carolina are setting benchmarks for others to follow.