VanEck: The US state BTC reserve bill may bring in $23 billion in funds for BTC

With several states in the United States considering the use of public funds to invest in Crypto Assets, asset management company VanEck predicts that if these state-level BTC reserve bills are passed, it could bring in as much as $23 billion into the market. In addition, former President Trump is also promoting a federal-level digital asset regulatory framework and even considering establishing a 'national digital asset reserve'.

Multiple states promote BTC reserve plan, with a total amount expected to reach 230 billion US dollars

With the discussion heating up on establishing national-level digital asset reserves, representatives from states such as Texas, Pennsylvania, and Ohio have proposed investing public pension funds in Crypto Assets or directly establishing state-level BTC reserves.

We analyzed 20 state-level Bitcoin reserve bills. If enacted, they could drive $23 billion in buying, or 247k BTC. This sum is independent of any pension fund allocations, likely to rise if legislators move forward. pic.twitter.com/5AZnkiwTZf

— matthew sigel, recovering CFA (@matthew_sigel) February 12, 2025

Matthew Sigel, digital asset director at VanEck, said the company analyzed 20 state-level BTC reserve bills and estimated that if these bills were passed, they could drive strong demand for approximately 242,700 BTC, equivalent to $23 billion.

As the scale of investment in many states is still unclear, the investment allocation of the pension fund has not been included in this table, and the $23 billion figure is currently only a conservative estimate.

Legislation in multiple states is progressing unevenly, but the direction is consistent

Currently, attitudes towards Cryptocurrency investments vary among multiple states in the United States, and the interest in investing in encryption assets also differs. However, the only consistent factor is that the overall legislative progress is accelerating.

(Bitcoin is becoming a new favorite in several states in the United States. Oklahoma, Texas, and Pennsylvania have successively promoted legislation )

It is reported that now, including Colorado, Utah, and Louisiana, have accepted Cryptocurrency as a state government payment method. In November last year, Detroit announced that it intends to become the "largest city in the United States to accept encryption payments" by introducing a state resident encryption payment platform.

The service is expected to be launched in mid-2025, when residents will be able to use cryptocurrency to pay taxes and other city fees through a secure platform managed by PayPal.

Sigel previously stated that Bitcoin is the only Cryptocurrency suitable for the US government's reserves, because it has fundamental differences from all other digital assets.

VanEck simulates BTC national reserve plan, potentially offsetting 42 trillion US national debt

In December last year, the VanEck research team also made predictions based on the 2024 BTC Act (BITCOIN Act 2024) proposed by Senator Cynthia Lummis, suggesting that the US Treasury acquire 1 million BTC within five years:

If the US government proceeds with this plan, the national reserve will reach 1 million BTC by 2029, and by 2049, the reserve will be able to offset about 35% of the national debt, equivalent to 42 trillion dollars.

However, the result is still a bit far-fetched, assuming that the price of Bitcoin needs to rise by more than 43,000% in the next 24 years, which is $42.3 million, not to mention the annual growth rate of U.S. national debt.

Countries are all crazy about BTC reserves

It is worth mentioning that, at the national level, in recent times, from Bhutan and Switzerland to the Czech Republic, there have been indications of intending to provide tax benefits to encryption asset holders, or considering including Bitcoin in reserves.

Even White House encryption czar David Sacks has stated that BTC, as the earliest and most powerful Cryptocurrency, is an "excellent store of value".

(Trump vows to improve digital asset regulations within 6 months! AI encryption czar: Start evaluating BTC reserves, Silicon Valley companies fully support )

This article by VanEck: US state BTC reserve bills, or will introduce $23 billion in BTC funds first appeared in Chain News ABMedia.