Northern Carolina is the first US state to give green light through legislation for investing public resources in Bitcoin (BTC) and other cryptocurrencies. The State thus partly follows the path of Donald Trump, who founded the Strategic Bitcoin Reserve in March.
Crypto investments from state treasury possible
On April 30, the House of Representatives of Northern Carolina agreed to the Digital Assets Investment Act (House Bill 92). With 71 votes in front and 44 against, the bill received sufficient support. The law gives the state treasury the authority to invest up to 5% of public funds in pre -approved cryptocurrencies.
An independent assessment is required for each investment. This must prove that the storage method is safe, that risks are effectively managed and that all applicable laws and regulations are met. The aim is to apply crypto investments in a controlled and responsible manner within the state policy.
In addition, the law investigates the possibility of having participants in pension and deferred wage schemes opted for investments in listed crypto products. This not only looks at state reserves, but also individual freedom of choice for employees.
Northern Carolina follows Example Arizona
On the same day, House Bill 506, the State Investment Modernization Act, was also adopted with overwhelming support (110 against 3). This law creates the North Carolina Investment Authority (NCIA), which takes over the management of state investments from the thesaurier. The NCIA is also responsible for any crypto investments, if approved by its own administration and under the supervision of external experts.
Northern Carolina is the second US state after Arizona to take concrete steps towards crypto integration within public investment strategies. Arizona previously accepted the SB 1025 and SB 1373 bills, both of which release the way for cryptor reserves at state level. These proposals are still waiting for signing by Governor Katie Hobbs.
Future for crypto within the government?
The momentum grows with every new law. What started as an experimental technology now gets a place within the institutional capital management of governments step by step. Northern Carolina plays a precursor role in this-and other states seem to follow.
Source: https://newsbit.nl/crypto-door-de-overheid-noord-carolina-maakt-weg-vrij-voor-bitcoin-investeringen/
