News View Non-AMP

Florida Proposes Bill to Invest Public Funds in Bitcoin

Published by
Nidhi Kolhapur

Florida is making a bold move toward crypto adoption. Senator Joe Gruters has introduced a new bill that could allow the state to invest public funds in Bitcoin. If passed, this could make Florida one of the first states to officially recognize Bitcoin as part of its financial strategy.

The proposed bill, “SB 550: Investments of Public Funds in Bitcoin,” would give Florida’s Chief Financial Officer (CFO) the power to allocate state funds into Bitcoin and other cryptocurrencies. These funds include the General Revenue Fund, Budget Stabilization Fund, and various trust funds.

Could this be the start of a larger shift in how governments view Bitcoin? And what challenges might Florida face along the way? Let’s take a closer look.

A Hedge Against Inflation

State Sen. Joe Gruters (R-Sarasota) and Rep. Webster Barnaby (R-Deltona) argue that inflation is weakening the value of state funds, making Bitcoin a potential solution. The bill would allow the CFO to manage and regulate these investments while ensuring they follow Florida’s financial plans.

To limit risk, the legislation caps Bitcoin holdings at 10% of each fund. The goal is to introduce Bitcoin as a strategic asset in Florida’s financial system while keeping strict oversight.

“Inflation has eroded the purchasing power of assets held in state funds managed by the chief financial officer, and this erosion diminishes the value of the state reserves, affecting the financial stability and economic security of this state, its taxpayers and its residents,” the bills read.

Bitcoin’s Role in Finance

The bill highlights Bitcoin’s long-term growth and increasing recognition as a legitimate financial asset. It points out that several countries, including the United States, hold Bitcoin in government reserves. It also notes that major investment firms like BlackRock, Fidelity, and Franklin Templeton see Bitcoin as a hedge against inflation.

Key Provisions of the Bill

The legislation lays out a clear plan for how Florida would invest in and manage Bitcoin. It gives the CFO authority to oversee Bitcoin holdings and ensures proper security and lending rules are in place.

To handle taxation, the bill proposes that taxes and fees collected in Bitcoin be transferred to the General Revenue Fund. This fund would also be used to pay state employees who choose to receive part of their salary in cryptocurrency. These measures aim to keep Bitcoin investments transparent and accountable.

More States Are Exploring Bitcoin

Florida is not the only state considering Bitcoin investments. Maryland recently proposed the Strategic Bitcoin Reserve Act, which would invest in Bitcoin using revenue from gambling violations. This growing interest suggests that states are beginning to see Bitcoin as a serious financial tool.

Could a Federal Bitcoin Reserve Be Next?

As more states explore Bitcoin, the idea of a national Bitcoin reserve could gain traction. However, regulatory challenges and Bitcoin’s volatility remain obstacles for lawmakers.

If more states pass similar laws, it could spark a larger debate about whether the U.S. should hold Bitcoin as part of its federal reserves.

If the trend continues, Bitcoin could soon become more than just an asset – it could be a pillar of state finance.

Nidhi Kolhapur

Nidhi is a Certified Digital Marketing Executive and Passionate crypto Journalist covering the world of alternative currencies. She shares the latest and trending news on Cryptocurrency and Blockchain.

Recent Posts

Is XRP the Sleeper Hit of the Week? Price Prediction Inside

XRP is facing a rocky week, as it dropped over 7% and slipped below key…

June 2, 2025

Elon Musk Unveils XChat with Bitcoin-Style Encryption

Elon Musk has introduced XChat, a new messaging feature on X (formerly Twitter) focused on…

June 2, 2025

Shiba Inu (SHIB) Price Shows Oversold Status, Whales Bet $560,000 On Viral Altcoin

SHIB’s price is stuck, and investors are moving on. Sell-offs have picked up, and weak…

June 2, 2025

Crypto Regulations in Hong Kong 2025

As of 2025, Hong Kong has secured its place as one of the leading crypto…

June 2, 2025

Altseason & Golden Cross Confirmed: 4 Altcoins to Buy Now

As June kicks off, the crypto market is starting to stir. Bitcoin’s supply on exchanges…

June 2, 2025

Metaplanet Boosts Bitcoin Stack to 8,888 BTC with $117M Buy

Metaplanet has strengthened its Bitcoin position with a fresh purchase of 1,088 BTC worth $117.3…

June 2, 2025