Kansas wants to build up its own Bitcoin reserve – crypto wallets will become state property

More and more American states are choosing Bitcoin (BTC) as a strategic reserve. Now Kansas is joining that group with a striking bill. The state wants to set up its own fund for digital assets, with an exception for BTC.

Kansas wants to manage abandoned crypto wallets with BTC exception

A new bill is on the table in Kansas that would lead to the creation of a state fund for digital assets. The plan, known as Senate Bill 352, was introduced by Senator Craig Bowser. This gives the Kansas State Treasurer the task of managing crypto coins that end up in the hands of the state as ‘unclaimed property’.

This concerns, for example, wallets held by custodians whose owners have never reported themselves – due to death without heirs or long-term inactivity. Ten percent of these crypto assets may be used for the state budget. However, one asset remains unaffected: Bitcoin (BTC) must remain entirely within the reserve fund and cannot be spent.

Bitcoin gets unique status in US state

With the proposal, Kansas creates a legal and financial separation between BTC and other state resources. Bitcoin is therefore treated as a separate type of asset, separate from regular state reserves. Kansas thus joins a broader trend in which Bitcoin is increasingly seen as a digital ‘gold standard’.

This strategy fits within the pro-crypto course of the Trump administration, which previously created a national Bitcoin reserve fund.

More US states are building Bitcoin reserves

Kansas is not alone in its plans. Several American states are now including Bitcoin in their financial strategy. For example, New Hampshire already has an official BTC reserve and is investigating the issuance of bonds backed by Bitcoin. Texas set up its own Strategic Bitcoin Reserve and purchased $5 million worth of BTC in late 2025.

Arizona and West Virginia also show interest in BTC as an inflation hedge or as a digital reserve. At the national level, Trump signed an executive order in March for a federal Bitcoin reserve. According to figures from BitcoinTreasuries, it currently contains 328,372 BTC from seizures. At a price of $89,300, this amounts to a value of more than $29.25 billion.