• Montana House has rejected the Bitcoin reserve bill.
• The Bitcoin reserve bill aimed for $50M in crypto.
• The house cited risk to taxpayer funds.

On February 22, 2025, Montana’s House of Representatives decisively voted down House Bill No. 429, a proposal that aimed to establish Bitcoin (BTC) as a state reserve asset.

The 41-59 vote marked a significant setback for advocates of integrating cryptocurrency into Montana’s financial strategy, highlighting a deep divide over the role of digital assets in public finance.

Introduced by Representative Curtis Schomer earlier in February, the bill sought to diversify the state’s investment portfolio by creating a special revenue account. This account would have allowed the state treasurer to allocate up to $50 million for investments in stablecoins, precious metals, and cryptocurrencies with a market capitalization exceeding $750 billion over the past year, a threshold currently met only by Bitcoin.

Supporters argued that such a move could yield higher returns than traditional bond investments, positioning Montana as a forward-thinking player in the evolving financial landscape.

Montana house representatives wary of risks involved

Despite clearing the House Business and Labor Committee on February 19 with a 12-8 vote, backed by Republicans and opposed by Democrats, the bill faced stiff resistance during its second reading in the House.

Fiscal conservatives, including many Republicans, voiced concerns over the speculative nature of Bitcoin, emphasizing the state’s duty to protect taxpayer money.

Representative Steven Kelly captured this sentiment during the House Floor Session, stating, “It’s still taxpayer money, and we’re responsible for it. We need to protect it. These types of investments are way too risky.”

Representative Jane Gillette echoed these doubts, pointing out that the bill lacked clear guidelines on how the funds would be managed, while Representative Bill Mercer warned that Bitcoin’s history of dramatic price swings made it an imprudent choice for public funds.

On the other side, advocates like Representative Lee Demming argued that embracing digital assets could safeguard Montana’s reserves against inflation and bolster long-term financial growth, a perspective shared by Bitcoin proponents nationwide.

The rejection of HB 429 effectively kills the proposal for now, requiring any future efforts to start anew in Montana’s legislature.

US states push for Bitcoin reserves

Montana’s decision stands in contrast to a growing trend among US states exploring Bitcoin as a reserve asset.

Approximately 24 states, including Utah, Arizona, Oklahoma, Texas, and Ohio, have introduced similar legislation, with Utah’s HB230 making the most progress by allowing up to 5% of public funds to be invested in digital assets.

Nationally and globally, the push for Bitcoin reserves is gaining traction, with countries like Switzerland, Brazil, Japan, and Russia also weighing the cryptocurrency’s potential as a strategic asset.

Dennis Porter, CEO of the Satoshi Action Fund, which collaborated with Montana legislators like Schomer and Senator Daniel Zolnikov, expressed disappointment with Montana’s move but remained optimistic about the broader movement. He noted that Bitcoin’s decentralized structure and limited supply make it an attractive hedge against economic uncertainty.

dReps will vote on the vast majority of proposals within Project Catalyst and enhance the quality of decision making within each Fund

At a recent Project Catalyst Town Hall, IOG announced the concept of delegating your voting power, the role of Delegate Representatives (dReps) and invited those keen to get involved to express an interest. There has been a fantastic response and we’re now excited to share more details.

In less than a year, Project Catalyst has become the world’s largest decentralized innovation fund. It is a focal point for ongoing development and sustainable innovation, driven by the Cardano community. Fund8 had nearly 1,000 proposals put forward, and Catalyst is now on track to fund over 2,100 proposals during 2022. That is staggering!

This continued expansion of the Cardano ecosystem signals fantastic news for the Cardano community as a whole. However, exponential growth poses a challenge though. As the number of proposals increases, so does the community’s responsibility to both review and vote upon them. To ensure that all proposals gain the attention they deserve, and to facilitate continued growth, a new system is required to ensure sustainability.

Delegation enables ada holders to delegate their voting power to one or many dReps. This allows the more passive voter a chance to continue to have their voice heard, but now across more proposals than they could personally read and evaluate.

These dReps will vote on the vast majority of proposals within Project Catalyst, and in turn will enhance the quality of decision making within each Fund. dReps will coordinate and form policies together, source and review data, consult with experts, and ultimately vote on an array of projects and topics that the community has brought forward.

The introduction of dReps is another exciting step forward as the community continues to learn and grow. There will be more to share and discuss over the weeks and months ahead as we roll out delegation into future Project Catalyst funds. To bolster inclusion and diversity, IOG is reopening interest in joining the first dRep cohort.

Over the coming weeks, IOG will be organizing a series of workshops that go into greater detail on what it means to be a dRep, the incentive model, and what impact dReps will have on Project Catalyst.

The bill passed in the Senate in August and includes crypto-focused sections on tax reporting

US House of Representatives Speaker Nancy Pelosi said on Sunday that the controversial infrastructure bill will be voted on this week, with passage likely by Thursday 30 September.

According to the House Speaker, debate on the $1 trillion bill set to introduce some controversial definitions to the crypto sector will begin on Monday. Thereafter, legislators are then expected to vote on the bill on Thursday.

“Tomorrow, September 27, we will begin debate on the Bipartisan Infrastructure Framework on the Floor of the House and vote on it on Thursday, September 30,” the Democratic Party stalwart said in comments to reporters.

The infrastructure bill passed in the Senate in August, with amendments to contentious parts applicable to crypto shot down after a last-minute objection from one of the Senators.

While crypto-supporting legislators still seek changes to the wording of a text regarding “brokers“, the bill’s passage this week could be a blow to crypto (especially the decentralised finance (DeFi) sector). 

For some crypto observers, the best outcome for Bitcoin and the market would be for some compromise to be reached as lawmakers consider the $3.5 trillion reconciliation bill currently before the House.

Pelosi is, however, convinced the infrastructure bill will pass. While speaking to ABC News anchor George Stephanopoulos, the Speaker appeared assured as she added:

“Let me just say that we’re going to pass the bill this week.”

The same conviction was voiced by US President Joe Biden, who said on Sunday that he was “optimistic about this week“.