On March 7, 2025, Utah lawmakers took a significant step toward integrating cryptocurrency into the state's legal framework by passing HB230

However, the legislation, approved by the Senate in a 19-7-3 vote, no longer includes its original groundbreaking provision to establish a state Bitcoin reserve.

Utah lawmakers have taken a significant step toward integrating cryptocurrency into the state’s legal framework by passing HB230, the “Blockchain and Digital Innovation Amendments” bill.

The bill, which was approved by the Senate on Wednesday in a 19-7-3 vote and now awaits the signature of Governor Spencer Cox, will go into effect on May 7, 2025.

This legislation positions Utah as a progressive player in the U.S. cryptocurrency landscape.

However, the original version of HB230, which included a provision to establish a state Bitcoin reserve, will not be part of the bill signed by the governor.

The House later concurred with the amendment in a 52-19-4 vote.

The Bitcoin reserve clause, initially sponsored by Representative Jordan Teuscher and Senator Kirk A. Cullimore, aimed to make Utah the first state in the U.S. to hold Bitcoin in its treasury.

The proposal allowed the state treasurer to invest up to 10% of certain public funds in Bitcoin (BTC). This move could have involved millions from accounts like the General Fund and Budget Stabilization Fund.

Earlier this week, there were hopes that the clause would survive a third and final Senate reading.

However, lawmakers removed the Bitcoin provision during the final vote, with Senator Cullimore acknowledging the change on the Senate floor.

Cullimore said there were concerns over Utah being an early adopter of such a bold financial policy.

The approved bill ensures residents can self-custody their digital assets without state interference. It also safeguards the right to mine Bitcoin, operate blockchain nodes, and participate in staking—activities central to the decentralized nature of cryptocurrencies.

These measures aim to empower Utahns and attract blockchain innovators to the state. By clarifying legal terms related to digital assets and prohibiting restrictive regulations, the bill lays the foundation for growth in this emerging sector.

Supporters argue that the bill balances innovation with safety, positioning Utah as a potential hub for crypto-related businesses.

Elsewhere, the U.S. is seeing a broad push toward Bitcoin integration at the state level.

While Utah stepped back from its Bitcoin reserve ambitions, Arizona and Texas are set to take a vote on similar bills in the coming days. Both bills passed Senate committee votes earlier this year.

According to Bitcoin Laws, 25 out of 31 introduced Bitcoin bills across the U.S. remain active.

States like Illinois and New Hampshire are also in the race to adopt the cryptocurrency.

On the federal level, President Donald Trump signed an executive order on March 7, 2025, creating a Strategic Bitcoin Reserve using seized assets. This move, paired with plans for budget-neutral acquisitions, underscores a growing acceptance of Bitcoin (BTC) at both the state and national levels.

Utah’s amended bill, less ambitious than the original version, aligns with this trend by prioritizing citizen participation over direct state investment.