From decrypt by Vince Dioquino

Ohio State Representative Derek Merrin is following in the footsteps of other representatives across the U.S., bringing forward a bill that would authorize the state’s treasury to invest public funds in Bitcoin.

House Bill 703, known as the Ohio Bitcoin Reserve Act, would establish a dedicated Bitcoin fund within the state treasury while investing the State Treasurer with discretionary power to purchase the crypto.

"The U.S. Dollar is being rapidly devalued, and our State Treasurer should have the authority and flexibility to invest in Bitcoin when determining proper asset allocation," Merrin said in a statement posted to X. "Ohio must embrace technology and protect tax dollars from eroding."

The bill amends section 2981.12 and enacts section 135.146 of Ohio's Revised Code but does not mandate any specific Bitcoin purchases or portfolio allocations.

"Bitcoin provides a vehicle to supplement our state's portfolio and preserve public funds from losing value," Merrin stated, arguing that through the legislation, the Ohio state government could "harness the power of Bitcoin" to strengthen its state finances.

The Ohio representative said he anticipates the incoming Trump administration will pursue a national Bitcoin reserve program, referencing a proposal by Senator Cynthia Lummis of Wyoming.

The bill's introduction comes as the current legislative session nears its end. Merrin expects the legislation to serve as a framework for lawmakers to address in the upcoming session in 2025.

A state strategy

Ohio joins a growing list of other U.S. State Representatives putting forth similar legislation.

In November 2024, Representative Mike Cabell introduced the Pennsylvania Bitcoin Strategic Reserve Act, proposing that up to 10% of the state's treasury reserves be allocated to Bitcoin as a hedge against inflation.

Shortly after, Texas followed suit. Representative Giovanni Capriglione filed House Bill 1598 On December 12, aiming to create a strategic Bitcoin reserve funded through donations. The bill also seeks to authorize state agencies to accept Bitcoin for payments, including taxes and fees.

In October, a separate tax bill was proposed by Ohio State Senator Niraj Antani to accept Bitcoin and other crypto as payment.