• North Carolina’s Bitcoin Reserve Act (SB327) allows up to 10% of public funds to be invested in Bitcoin.
  • The state treasurer will oversee the funds, secured with multi-signature cold storage.

North Carolina is considering a groundbreaking bill that would allow the state to allocate public funds to Bitcoin. The Bitcoin Reserve and Investment Act (SB327) proposes investing up to 10% of the state’s general fund in the digital asset. With North Carolina’s general fund currently holding $9.5 billion, this move could reshape state financial strategies.

The bill, led by Republican Senators Todd Johnson and Brad Overcash, seeks to establish a secure Bitcoin reserve. To ensure transparency and security, the funds will be held in multi-signature cold storage. The bill also mandates monthly audits to verify the Bitcoin holdings, ensuring accountability.

A key provision in the bill restricts Bitcoin sales to cases of severe financial crisis. Even in such situations, strict conditions must be met before any liquidation occurs. This safeguard aims to maintain Bitcoin as a long-term asset rather than a short-term investment.

NC’s Bitcoin Bill Could Set a Precedent

The proposal aligns with a growing trend of government interest in digital assets. With two Bitcoin reserve bills currently under consideration in North Carolina’s House and Senate, the state could become a leader in crypto adoption for public finance. If passed, this legislation might encourage other states to follow suit.

Despite its potential benefits, Bitcoin’s volatility and regulatory uncertainties pose risks. However, supporters argue that diversifying reserves with digital assets could offer a hedge against traditional financial market fluctuations. The bill seeks to balance investment opportunities with strict oversight, ensuring responsible Bitcoin management.

As more governments explore digital asset adoption , North Carolina’s decision could serve as a model for other states. The success of SB327 will depend on regulatory approval, financial impact, and long-term crypto market stability. 

Highlighted Crypto News Today
 Is Maker (MKR) Ready for Lift-Off, with Eyes Set on the $1.5K Resistance?