A legislative initiative has been introduced in Pennsylvania's House of Representatives to enable the state treasury to allocate a portion of its funds into Bitcoin
Republican Representative Mike Cabell led this effort, emphasizing Bitcoin’s potential as a safeguard against inflation. In a memo dated November 12, Cabell advocated for the proposal, asserting that Bitcoin could provide a financial buffer during economic uncertainty.
He described the cryptocurrency as a stabilizing force capable of countering inflationary pressures.
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If enacted, the legislation would empower the Pennsylvania Treasurer to invest up to 10% of the State General Fund, the Rainy Day Fund, and the State Investment Fund into Bitcoin. Together, these funds represent significant financial resources, with the General Fund alone holding over $9.7 billion as of November, and the Rainy Day Fund totaling approximately $7 billion.
Cabell highlighted the growing trend among leading investment firms such as BlackRock, which have integrated Bitcoin into their portfolios to mitigate economic volatility. His proposed bill, formally introduced to the Pennsylvania House on November 13, draws on this strategy.
The concept for the "Pennsylvania Bitcoin Strategic Reserve Act" aligns closely with a framework devised by the Satoshi Action Fund, a Bitcoin advocacy organization. Representative Aaron Kaufer joined as a co-sponsor of the legislation, designated as HB 2664. Despite this support, it remains uncertain whether the measure will garner sufficient backing for approval in the legislature.
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