West Virginia Lawmaker Introduces Bill to Allow State Crypto Investments

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The legislation would allow the stateโ€˜s treasury to hold digital assets with a market capitalization of more than $750 billion, which applied only to Bitcoin as of January.

West Virginia State Senator Chris Rose has proposed legislation amending the stateโ€™s code to allow the treasury to invest up to 10% in precious metals, certain digital assets and stablecoins.

In a bill introduced to the West Virginia legislature on Wednesday, Rose proposed that the stateโ€™s Board of Treasury be allowed to invest in precious metals, digital assets with a market capitalization of more than $750 billion from the previous calendar year and stablecoins. The bill, called the Inflation Protection Act, if passed and signed into law, could give the stateโ€™s treasury exposure to Bitcoin (BTC), the only cryptocurrency to meet the market cap requirement as of January.

Source: West Virginia legislature

According to the text of the bill, any digital asset acquired by the stateโ€™s treasury could be held by a qualified custodian, in an exchange-traded product or through a secure custody solution. Any stablecoins acquired would need to have received regulatory approval from the US government or individual state governments.

Several US states have proposed similar bills allowing the government to invest in Bitcoin or other cryptocurrencies. Although many lawmakers introduced legislation in 2025, only Texas, Arizona and New Hampshire passed laws allowing state-level crypto reserves.

Related: Bank of America CEO warns interest-bearing stablecoins could pull $6T from US banks

Itโ€™s unclear as of Thursday whether Roseโ€™s bill will have enough support to pass the West Virginia legislature. Lawmakers referred the bill to the Committee on Banking and Insurance.

US Senate holds on market structure bill

The West Virginia bill was introduced as lawmakers in the US Senate postponed a markup for legislation to establish digital asset market structure in the United States.

The legislation, called the CLARITY Act, has received criticism from many industry figures over provisions on decentralized finance, stablecoin rewards, and the role US financial regulators would have in overseeing digital assets.