The U.S. state of Ohio Introduces New Bill Allowing for the Creation of a "Bitcoin Strategic Reserve"

BlockBeats News, January 26th, Ohio, USA took a bold step in its financial strategy by introducing a new bill that allows for the creation of a "Bitcoin Strategic Reserve." The bill, supported by six joint sponsors, aims to protect the state's funds from the impact of inflation and ensure the long-term stability of its financial assets. The key details of the bill are as follows:

· Fund Allocation: The proposed legislation will allow Ohio to allocate up to 10% of its General Fund, Budget Stabilization Fund, and Reward Trust Fund to Bitcoin.

· Custody Solution: The bill outlines robust custody requirements to ensure the security of the reserve. Ohio will manage its digital assets through self-custody or qualified custodians.

· Technologically Neutral Stance: To reduce political friction and ensure swift action, the bill adopts technologically neutral language, using the term "digital assets" instead of specifically mentioning Bitcoin. However, its stringent requirements ensure that currently only Bitcoin qualifies.

· Eligibility Criteria: To qualify for inclusion in the reserve, a digital asset must have a market value of at least $750 billion based on a 12-month average.

The bill has received strong support from the state government and the six joint sponsors, significantly increasing its likelihood of becoming law.