A clause in Utah’s Blockchain and Digital Innovation Amendments bill, which would establish a Bitcoin reserve, was dropped right before the final Senate vote.
Referred to as House Bill 230, Utah’s State Senate passed the bill with a 19-7-3 vote on March 7. However, this version no longer includes the Bitcoin reserve clause. The bill is now headed to Governor Spencer Cox for approval.
Initially, the bill proposed allowing Utah’s state treasurer to invest up to 5% of certain public funds into Bitcoin and other qualifying digital assets.
Utah was leading the Bitcoin reserve race and was widely expected to be the first U.S. state to pass such a law due to its short 45-day legislative window and strong political momentum. However, the clause was scrapped during the final Senate reading on March 7, and the House later concurred with the amendment in a 52-19-4 vote, sealing its removal from the bill.
With the reserve clause gone, HB230 only includes provisions that protect the right to mine Bitcoin, run a node, and participate in staking, ensuring residents can engage in blockchain activities without regulatory overreach. It also establishes basic custody protections, giving Utahns clearer rights when holding digital assets.
Now, the Bitcoin reserve race has narrowed down to Texas and Arizona, with both states moving forward with their own legislative efforts.
According to Bitcoin Laws, two Arizona Senate bills and the Texas Senate bill (TX S) are now next in line to establish a state-backed Bitcoin reserve. Arizona’s bills have already cleared committee stages and are awaiting final floor votes, while Texas’ proposal has moved to the House.
Meanwhile, other states, including Kentucky, New Hampshire, Illinois, and Iowa, still have live Bitcoin reserve bills in progress, but they remain further behind in the legislative process.
In related news, U.S. President Donald Trump signed an executive order on March 7 that establishes a Strategic Bitcoin Reserve and a U.S. Digital Asset Stockpile. However, the reserve would be funded via assets seized by the federal government instead of direct investments.
Read the full article here