Connecticut Passes Bill that Bans State from Bitcoin and Virtual Currency Investments

The state of Connecticut has passed a law to prohibit the state from investing in Bitcoin (BTC) or in any other virtual currency. The bill dubbed HB7082 and officially titled “An Act Concerning the Regulation of Virtual Currency and State Investments” imposed a comprehensive ban for the state and local governments from investing into crypto assets. 

The law also introduced new stringent regulations for crypto business within Connecticut’s jurisdiction. Notably, payment applications handling crypto assets in Connecticut must henceforth verify parental consent for users under the age of 18.

The bill also stipulated that crypto businesses must adhere to strict anti-money laundering  (AML) compliance.

Connecticut Moves Against the Wave for Bitcoin Adoption

As Coinpedia has severally reported, several states in the United States have been pushing towards implementing a strategic Bitcoin Reserve (SBR). The states have been following a similar stance by the Donald Trump administration, which intends to implement an SBR in the near future.

Earlier on Tuesday, the state of Louisiana announced that it will form a committee to study artificial intelligence (AI), blockchain, and cryptocurrency.

“WHEREAS One in five Americans owns cryptocurrency…it is in the interest of Louisiana to consider the benefits and challenges of these technologies,” the state noted.