Utah is on the verge of making history as the first U.S. state to hold Bitcoin as a reserve asset.
The state’s proposed “Blockchain and Digital Innovation Amendments” (HB230) bill successfully passed the Senate Revenue and Taxation Committee on February 20, advancing through a 4-2-1 vote. The bill now moves forward for a second and third reading in the Senate before a final vote determines its fate.
If the bill secures Senate approval, it will head to Governor Spencer Cox’s desk for final authorization. Given the governor’s Republican affiliation, many anticipate he will sign the bill into law, making Bitcoin an official part of Utah’s financial reserves.
The committee vote largely followed party lines, with four Republican senators supporting the bill, while one Republican and one Democrat opposed it. One senator was absent during the vote.
Other states are making progress on having a Bitcoin reserve
The bill, which has already passed the state’s House of Representatives, would authorize the state treasurer to allocate a portion of Utah’s financial reserves into Bitcoin. The state treasurer would be authorized to allocate up to 5% of digital assets across five key state accounts, including the General Fund Budget, Income Tax Fund Budget, and State Disaster Recovery accounts, with all holdings required to be kept through a qualified custodian or exchange-traded fund (ETF) for security. The bill also grants the state treasurer authority to engage in cryptocurrency staking.
While Utah leads state-level crypto adoption, other states are making progress as well. Montana recently joined Texas and three other US states whose bills for a Bitcoin reserve have moved beyond the introduction phase. Montana’s House Bill 429 passed the state’s House Business and Labour Committee with a 12-8 vote and is now awaiting a vote on the full House floor.
Utah’s bill will take effect on as early as May 7 if enacted. In fact, many industry experts, including Satoshi Action Fund CEO Dennis Porter, believe the state has the necessary political momentum and legislative efficiency to become the first U.S. state to officially incorporate Bitcoin into its financial reserves.
Also Read: Ukraine’s Bitcoin Reserve: Smart Financial Strategy or Risky Political Gamble?
Utah dropped the Bitcoin reserve provision, added more crypto regulation in 2026
Lawmakers removed the reserve provision during the final stages of the legislative process. The final version of HB 230 retained provisions protecting activities such as self-custody, operating blockchain nodes, mining and staking, but did not authorize Utah to purchase Bitcoin for a state reserve.
The state’s crypto policy continued developing this year. In March 2026, Utah lawmakers passed HB 72, Criminal Use of Cryptocurrency Amendments, which was signed by Governor Spencer Cox. The legislation also addresses virtual-currency activity and forms part of the state’s wider effort to establish clearer rules around crypto.
Utah also introduced new requirements for virtual-currency kiosks. Under HB 72, kiosk operators must submit annual reports listing the locations of their machines in the state. The regulation took effect on May 6, 2026, with administrative rules being developed afterwards.
That points to a more practical regulatory priority, including monitoring crypto activity and reducing consumer and financial-crime risks rather than simply accumulating Bitcoin.
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