Minnesota examines cryptocurrency investment bill.
Minnesota has become the latest U.S. state to consider cryptocurrency legislation with its proposed Minnesota Bitcoin Act.
Despite its name, the measure broadly targets “Bitcoin and other cryptocurrencies,” allowing the State Board of Investment to include digital assets in its portfolio and facilitating crypto payments, according to Cryptopolitan.
It also allows for the deduction of bitcoin earned from federal adjusted gross income and exempts profits from certain tax calculations, demonstrating the state’s commitment to adopting novel financial instruments.
Legislative Paths and Consumer Protections
Republican Jeremy Miller will submit the measure, which goes into effect on March 17, after it was publicly disclosed on March 14. It will be referred to the State and Local Government Committee. If adopted, it will go into effect on either December 31, 2025 or January 1, 2026.
Minnesota already requires cryptocurrency exchanges to register as money transmitters and has passed legislation to safeguard crypto ATM customers, but the new measure does not impose a comprehensive regulatory framework or establish a crypto reserve.
Federal Debate and National Context
At the federal level, the debate over digital asset regulation remains polarised. Prominent lawmaker Tom Emmer, vice head of the House Financial Services Subcommittee on Digital Assets, has reintroduced the Anti-CBDC Surveillance State Act to prohibit central bank digital currencies, emphasising the national debate over crypto oversight.
This state proposal comes against opposing federal policies, like as President Donald Trump’s recent executive order barring federal agencies from constructing CBDCs, highlighting the continued contradiction between innovative state reforms and cautious national regulatory methods.
We recently stated that Michael Saylor, a renowned cryptocurrency enthusiast, makes a solid case for creating a Strategic Bitcoin Reserve as a national economic policy.