- Florida halts efforts to create a Bitcoin reserve by withdrawing HB 487 and SB 550 from consideration.
- At least six other U.S. states have also either stalled or blocked similar Bitcoin reserve legislation.
- Only 19 states are still reviewing digital asset reserve bills amid rising fiscal and regulatory concerns.
Florida has officially cancelled two legislative bills that sought to enable the state to spend public funds on Bitcoin. This places Florida along with a number of states in the U.S that seem to be curbing attempts to pioneer state-sanctioned crypto reserves.
The Florida Senate website clearly states that House Bill 487 and Senate Bill 550 have been “indefinitely postponed and withdrawn from consideration.” These bills were both introduced in February 2025 and sought to set up a system to use state-managed funds to purchase and hold Bitcoin as a strategic reserve. This withdrawal marks a notable shift away from state-level digital asset adoption.
States Back Away from Bitcoin Reserve Proposals
Florida is not the only state that has pulled back. The same kind of legislation has been witnessed in Wyoming, Pennsylvania, Oklahoma, Montana, North Dakota, and South Dakota has stalled or been blocked in recent months. Many of these proposals failed to make it past the early committee stages. As a result, none of them was able to secure full legislative approval.
Arizona advanced the furthest with Senate Bill 1025. This bill proposed investing funds in Bitcoin. It passed a vote in the Arizona House, but Governor Katie Hobbs vetoed the bill. Hobbs later raised two major concerns in her statement. One questioned Bitcoin’s price volatility, and the other examined the lack of long-term data supporting its use for managing public funds.
Senate Bill 1373 is the second proposal in Arizona and remains under consideration. For this one, it would permit up to 10% of state-managed assets to be allocated to Bitcoin and other digital assets. The bill has yet to reach a final vote despite its presence on the legislative calendar, and its future remains uncertain. Internal discussions in several states have cited similar reservations. Legislative analysts pointed to market instability, cybersecurity risks and regulatory ambiguity as key issues influencing decision-making.
Nationwide Slowdown as Federal Interest Rises
State momentum has been slow. Data from Bitcoin Laws shows that only 19 states are still actively considering legislation related to Bitcoin reserves. Also, the number of bills under discussion has dropped to 36. This shows a notable drop from higher figures in late 2024. The decline can be linked to the growing concerns about the financial risks associated with holding digital assets using taxpayer funds.
Arizona’s Governor cited those concerns directly in her veto. The an absence of reliable long-term indicators that would support Bitcoin as a stable financial tool for public institutions. Similar views have been expressed in Pennsylvania, Montana, and South Dakota, where fiscal oversight committees have taken a cautious stance.
Bitcoin reserve discussions have moved to the federal level despite state hesitation. President Donald Trump has reportedly signed an executive order directing U.S agencies to assess the feasibility of establishing a national Bitcoin reserve system. The plan includes a framework for evaluating strategic uses of Bitcoin and outlines potential steps for acquiring and managing such a reserve.
Federal officials have not disclosed full details of the order yet, but sources familiar with the matter confirmed the creation of an interagency task force. The group is on a task to study the legal, technical, and economic implications of holding Bitcoin at the federal level.
Meanwhile, skepticism persists. BitMEX co-founder Arthur Hayes recently commented that the U.S may struggle to adopt Bitcoin in any meaningful way. He pointed to longstanding institutional resistance and a general aversion to financial risk as obstacles that could delay or derail federal crypto initiatives.
