Montana Advances Bill to Make Bitcoin Part of State Investment Portfolio
According to House Bill 429 documents from Montana's 69th Legislature, the state's House Business and Labor Committee has approved legislation that could make Bitcoin a part of the state's investment strategy, joining a broader movement of twenty U.S. states considering similar measures worth a potential $23 billion in total investments. The bill, titled the "Inflation Protection Act of 2025," passed with a 12-8 vote along party lines.
The legislation would authorize Montana to invest up to $50 million from its general fund into digital assets and precious metals. Bitcoin is currently the only cryptocurrency meeting the bill's requirement of maintaining an average market capitalization above $750 billion over the previous calendar year. The proposal comes as the U.S. Bitcoin mining industry has grown into a significant economic force, generating $4.1 billion in annual gross product and supporting over 31,000 jobs nationwide.
According to research from asset management firm Vaneck, Arizona leads potential state investment volume with a proposed allocation of up to $8.7 billion, while Florida is considering a $3 billion investment. Montana's relatively modest $50 million proposal places it among several states exploring smaller-scale cryptocurrency investments as part of their treasury management strategies.
Key elements of Montana's proposed legislation include:
- Creation of a special state investment account
- Authorization for precious metals investments
- Strict market capitalization requirements for digital assets
- Integration with existing state investment frameworks
- Implementation deadline of July 2025
The growth in state-level Bitcoin initiatives parallels the expansion of mining operations across the country. Texas has emerged as the leader in Bitcoin mining, contributing $1.7 billion to annual gross product and supporting over 12,200 jobs. Georgia and New York follow as the next largest beneficiaries, with $316.8 million and $225.9 million in annual gross product respectively.
Montana has become the fourth U.S. state to advance such legislation to the House level, following Utah, Arizona, and Oklahoma. If approved by the full legislature, the state treasurer would begin transferring funds into the new investment account by July 15, 2025. The bill, introduced by Representative C. Schomer and sixteen co-sponsors, represents part of a growing trend of state governments exploring cryptocurrency investments as a treasury management tool.
