North Carolina Joins States Creating Bitcoin Reserves
North Carolina has joined over a dozen other states in pursuing the creation of a state Bitcoin reserve, introducing a bill on Tuesday to position the state as a “leader in state-level cryptocurrency adoption.”
Senate Bill 327(SB327) calls for North Carolina’s State Treasurer to allocate up to 10% of public funds to Bitcoin.
Introduced by Republican Senators Todd Johnson, Brad Overcash, and Timothy Moffitt—the bill envisions Bitcoin investment as a “financial innovation strategy” to strengthen North Carolina’s economic standing.
Under SB327, the Treasurer should ensure Bitcoin will be stored in multi-signature cold storage and subject to monthly audits for transparency and security.
The bill enforces strict controls on the use of Bitcoin, limiting liquidation only to instances of a “severe financial crisis” and requiring approval from two-thirds of the General Assembly for any sale.
Bitcoin Economic Advisory Board
It further mandates the creation of a Bitcoin Economic Advisory Board, tasked with providing ongoing guidance on the reserve’s management.
The three senators also included the possibility of Bitcoin mining operations in the bill as a way to increase the state’s holdings at a lower cost.
Any sale of Bitcoin holdings will require the approval of at least two-thirds of both chambers of the General Assembly, says the bill.
SB327 authorizes the State Treasurer to engage in Bitcoin-backed investment strategies, including staking, lending, and other regulated yield-generating activities.
The introduction of SB327 is part of a larger push in North Carolina to incorporate crypto into state policy.
Alongside SB327, the state’s lawmakers recently proposed House Bill 92(HB 92), to allow the State Treasurer to invest in Bitcoin exchange-traded products (ETPs).
HB92 proposes to allocate up to 10% of public funds and retirement systems into these ETPs, which must track digital assets with a minimum average market capitalization of $750 billion over the past twelve months, with the only asset fitting the criteria being Bitcoin.
The state-level push for Bitcoin as a reserve asset comes as President Donald Trump unveiled plans earlier this month for a national Bitcoin reserve, aiming to make the U.S. the “crypto capital of the world.”
U.S. States Pursuing Bitcoin Reserves
Several states are already in the race, but a few others have rejected such proposals at the outset.
Arizona is currently one of the frontrunners in this movement, with three Bitcoin reserve bills under discussion.
On Tuesday, the state’s Bitcoin ‘Legal Tender’ Bill SB1062 passed the House Commerce Committee by a vote of 6 – 4.
Meanwhile, in Texas, Senate Bill 21 (SB21) seeks to establish a state-managed investment fund dedicated to Bitcoin and other high-market-cap cryptos.
Utah was initially poised to become the first U.S. state to establish a Bitcoin reserve, but its bill, HB230, underwent significant amendments.
While the bill still provides protections for Bitcoin custody and mining, the provision for a state-managed Bitcoin reserve was removed in the final stages of the legislative process.