Ohio State Representative Derek Merrin (R-Monclova Township) introduced new legislation on December 17, 2024, aimed at authorizing the state treasury to invest in Bitcoin as part of its asset portfolio.

Known as House Bill 703, the “Ohio Bitcoin Reserve Act” seeks to establish a dedicated BTC fund within the state treasury, providing the State Treasurer

Ohio State Representative Derek Merrin (R-Monclova Township) has introduced new legislation aimed at authorizing the state treasury to invest in Bitcoin as part of its asset portfolio.

Announced on Friday via X, formerly Twitter, Merrin's proposal seeks to establish a dedicated BTC fund within the state treasury. The measure would provide the State Treasurer with the legal framework to purchase and hold BTC.

While the legislation does not mandate any specific investment, it opens the possibility for future allocation.

“Today, I filed HB 703 to create the Ohio Bitcoin Reserve within the state treasury,” Merrin announced on Friday. “Provides state treasurer authority & flexibility to invest in Bitcoin.”

According to an official press release from Merrin's office, the legislation's primary goal is to bolster Ohio's financial standing in light of the weakening US dollar.

“The US Dollar is being rapidly devalued, and our State Treasurer should have the authority and flexibility to invest in Bitcoin when determining proper asset allocation,” Merrin said in the statement.

“Ohio must embrace technology and protect tax dollars from eroding.”

Merrin's release also noted that he anticipates the incoming federal administration may explore establishing a national BTC reserve, highlighting similar proposals by Senator Cynthia Lummis (R-WY).

Moreover, the Ohio State Representative pointed out that similar legislation has been introduced in other states, including Texas and Pennsylvania.

“Bitcoin is revolutionizing finance and will reshape world economies. We must have sound money – it's like digital property rights for everyone who owns it,” Merrin stated in his press release.

“This legislation sets up the framework for Ohio's state government to harness the power of BTC to strengthen our state finances.”

Commenting on the development, Ohio Blockchain Council Executive Director Andrew Burchwell expressed his support for the initiative.

“Governments worldwide are considering investment in Bitcoin as a strategic reserve asset, including the US federal government and states like Texas, Pennsylvania, and Florida,” Burchwell said.

“I applaud Representative Merrin for introducing this legislation to ensure that Ohio is positioned as a leader in innovation and technology, and I look forward to working with the legislature in 2025 to ensure that Ohio makes the most of this opportunity.”

The introduction of House Bill 703 comes just two weeks before the 135th General Assembly is set to adjourn on December 31, 2024. As the current session nears its close, the proposal will likely serve as a framework for the next legislative session, which begins on January 6, 2025.

Under Ohio law, bills that are not passed by the end of a session must be reintroduced in the following term.

With the bill, Ohio is poised to become the third US state to establish a Strategic Bitcoin Reserve (SBR), following recent initiatives in Texas and Pennsylvania.

Pennsylvania, which introduced its own SBR Act in November, could see up to 10% of its General Fund being allocated into Bitcoin.

Meanwhile, Texas took a more moderate step last week, introducing a bill to allow donations and possibly taxes paid in BTC to be held for a minimum of five years.

Another state on track to creating its own SBR is Florida, which could see the establishment of an initiative as early as the first quarter of 2025. The move is being supported by pro-Bitcoin leadership and advocacy from the Florida Blockchain Business Association (FBBA).

In contrast, states like Michigan and Wisconsin have opted for more conservative approaches, focusing primarily on BTC-related ETFs and trusts.

Significantly, the Wisconsin Investment Board became the first state pension fund to acquire Bitcoin ETFs in May of this year.

At press time, BTC trades at $103,987.