North Carolina Lawmakers Propose Incorporating Crypto into the State’s Retirement System

Jimmy Aki
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North Carolina lawmakers have introduced legislation in both the Senate and House that could direct the state treasurer to invest up to 5% of various state retirement funds in digital assets, including cryptocurrencies such as Bitcoin.

House Bill 506 and Senate Bill 709: Modernizing North Carolina’s Investment Approach

On March 24, Representative Brenden Jones proposed the Investment Modernization Act (House Bill 506), which would create an independent investment authority within the state Treasury.

This authority would evaluate and select which digital assets qualify for inclusion from the designated allocation of retirement funds.

Also, on March 25, the State Investment Modernization Act (Senate Bill 709) was introduced to the state Senate.

Both bills define digital assets to include cryptocurrencies, stablecoins, non-fungible tokens (NFTs), and any other electronically based asset that offers economic or proprietary access rights.

Unlike similar state-level crypto bills, these proposals do not impose market capitalization criteria for the digital assets under consideration.

The independent agency will be named the North Carolina Investment Authority and tasked with carefully evaluating each asset’s risk-reward profile while ensuring that investments are secured through robust custody solutions.

More so, on March 18, North Carolina senators introduced the Bitcoin Reserve and Investment Act (Senate Bill 327).

According to Republicans Todd Johnson, Brad Overcash, and Timothy Moffitt, this bill specifically proposes allocating up to 10% of public funds to Bitcoin, treating such investment as a financial innovation strategy to enhance the state’s economic standing.

Under the bill, any Bitcoin acquired must be stored in a multi-signature cold storage wallet and may only be liquidated during a declared “severe financial crisis” with the approval of two-thirds of the General Assembly.

Additionally, the bill calls for creating a Bitcoin Economic Advisory Board to oversee the reserve’s management.

These proposals are part of a broader national trend, with Bitcoin Law highlighting the fact that 41 Bitcoin reserve bills have been introduced in 23 states, 35 of which remain active in 18 states so far.

Federal Initiatives and Legislative Efforts Strengthen U.S. Digital Asset Strategies

The Utah House Economic Development Committee has also supported HB 230, a bill that would empower the state to make strategic investment decisions in cryptocurrencies.

Passed with an 8-1 vote on January 28, the measure would allow Utah’s treasurer to allocate up to 5% of certain public funds toward qualifying digital assets, including major cryptocurrencies and approved stablecoins.

Introduced by Representative Jordan Teuscher, the bill now moves to the full House. Even in Texas, Lieutenant Governor Dan Patrick has identified establishing a Bitcoin reserve as a top priority for the 2025 legislative agenda.

State-level initiatives are not the only focus; federal interest in digital assets is also strong.

Senator Cynthia Lummis recently reintroduced the BITCOIN Act amid growing calls for digital innovation. The Act aims to create a U.S. Strategic Bitcoin Reserve by acquiring 1 million BTC over five years.

The bill proposes funding through a mix of Federal Reserve and Treasury resources and legal avenues, such as asset forfeitures. It has garnered support from key Republican senators to bolster economic security and address the national debt.

This legislative effort aligns with recent governmental moves, highlighted by President Donald Trump’s executive order establishing a Strategic Bitcoin Reserve and Digital Asset Stockpile, which shows a broader interest in integrating digital assets into public financial strategies.

About Jimmy Aki PRO INVESTOR

Based in the UK, Jimmy is an economic researcher with outstanding hands-on and heads-on experience in Macroeconomic finance analysis, forecasting and planning. He has honed his skills having worked cross-continental as a finance analyst, which gives him inter-cultural experience. He currently has a strong passion for regulation and macroeconomic trends as it allows him peek under the global bonnet to see how the world works.