A bill in Utah is making progress, allowing the state treasurer to invest up to 5% of certain public funds in cryptocurrency. The House Economic Development and Workforce Services Committee approved the bill, HB230, with an 8-1 vote, moving it to the full House for further consideration. The bill, sponsored by Rep. Jordan Teuscher, focuses on “qualifying digital assets,” like Bitcoin, which currently meets the criteria due to its Market cap. State Treasurer Marlo Oaks supports exploring digital assets to boost Utah’s economy while emphasizing a careful evaluation process to protect public funds, especially considering the volatility of cryptocurrencies. If passed, this could lead to significant investments in the growing digital asset Market.
SALT LAKE CITY — Exciting news for Utah as a new bill passed its first test in the state legislature. The bill, known as HB230, allows the Utah state treasurer to invest public funds in cryptocurrency. This development was approved by the House Economic Development and Workforce Services Committee with a vote of 8-1 on Tuesday.
The bill is sponsored by Representative Jordan Teuscher, a Republican from South Jordan. It aims to let the state treasurer invest up to 5% of certain public dollar reserves in “qualifying digital assets.” These assets must have a Market capitalization of at least $500 billion; right now, Bitcoin is the only currency that fits this criterion.
Teuscher emphasized the flexibility this bill would provide, stating, “It doesn’t require any investment but allows for that investment.” State Treasurer Marlo Oaks, who supports this initiative, explained that Utah has about $1.4 billion in reserve funds, which means up to $70 million could go into the cryptocurrency Market.
Oaks also mentioned the importance of carefully evaluating the risks involved with investing public money in volatile assets like cryptocurrencies. He reassured the committee that the safety of public funds would be a priority for his office.
Despite broad support from cryptocurrency advocates, not everyone is on board. Representative Colin Jack expressed concerns regarding the volatility of cryptocurrency investments, saying he remains wary about using state money for this purpose.
If passed by the full House, the bill will then move to the Senate for approval before heading to the governor’s desk. Similar legislation has been advanced in other states, like Arizona, but Utah aims to be the first to implement such a measure.
This bill marks a significant step for Utah as it explores new financial technologies to bolster its economy. Keep an eye on this developing story, as it could redefine how public funds are managed in the Beehive State.
Tags: Utah cryptocurrency, public fund investment, HB230, state treasurer, Bitcoin investment
Will Utah soon invest in cryptocurrency? Here are some frequently asked questions about this topic:
What is the current status of Utah’s investment in cryptocurrency?
Right now, Utah hasn’t officially decided to invest in cryptocurrency. Discussions are happening, but no formal plans are in place yet.
Why are some people in Utah interested in cryptocurrency?
Many people see cryptocurrency as a new way to invest and make money. They believe it could help the state’s economy grow and attract tech companies.
What are the risks of investing in cryptocurrency?
Investing in cryptocurrency can be risky. Prices can go up and down quickly. People might lose money if they aren’t careful.
How could investing in cryptocurrency benefit Utah?
If Utah invests wisely, it could attract new businesses and create jobs. It might also help the state stay updated with modern financial trends.
When can we expect a decision from Utah regarding cryptocurrency investment?
There’s no clear timeline for a decision yet. It may take time as officials weigh the pros and cons and get public input.