Compass Investments

– The new law in Connecticut imposes an outright ban on the use of virtual currency for payments in the state and its administrative units, as well as the creation of digital asset reserves.

This makes Connecticut one of the most conservative states when it comes to cryptocurrencies, which stands out against the general trend of legalizing bitcoin reserves in the United States.

The urgency of the issue is underscored by the fact that 26 states have already introduced 47 bitcoin reserve bills, and Texas, New Hampshire and Arizona have already approved the relevant legislative framework.

Connecticut’s decision essentially excludes the state from the nationwide discussion on the strategic adoption of cryptocurrencies by state treasuries.

The legislation goes beyond investment frameworks to include comprehensive rules to regulate money transfers.

Cryptocurrency companies are required to provide comprehensive information about material risks, including warnings about fraud, market volatility and irreversible transactions.

Additional security measures include parental controls for users under the age of 18.

IMPORTANT: Connecticut Governor Ned Lamont today formally approved legislation to ban bitcoin reserves.

state-level adoption of cryptocurrencies is actively gaining momentum, in stark contrast to Connecticut’s new move.

Texas is leading the way, with Governor Greg Abbott signing Senate Bill 21, which establishes America’s first state-funded bitcoin reserve, completely separate from the state treasury.

Texas Comptroller Glenn Hegar would administer the fund, and companion legislation HB 4488 would protect the reserves from standard reallocation of funds.

Senator Charles Schwertner spearheaded the initiative, arguing that the state of Texas should be able to evaluate the best performing assets over the last 10 years.

ew Hampshire also made historic progress by becoming the first state to pass a law allowing public funds to be invested in bitcoin reserves.

Governor Kelly Ayotte signed a law allowing up to 5% of the state’s funds to be invested in digital assets with a market capitalization of more than $500 billion, effectively focusing exclusively on bitcoin.

California was also not left behind, passing the progressive Assembly Bill 1180, which was unanimously supported by 78 Assembly members, approving pilot programs to charge fees for the use of digital assets.

the Department of Financial Protection and Innovation will develop a framework for government transactions based on cryptocurrencies by 2025.

Arizona, for its part, presents a complicated picture: Governor Kathy Hobbs vetoed comprehensive bitcoin reserve legislation, but simultaneously signed into law HB 2749, which creates a framework for managing unclaimed digital assets.

There are several active bills in the state, including the revised HB2324, which recently passed the Senate for reconsideration.