The Bitcoin legislation in Utah has successfully passed through the state Senate, albeit without its key provision—a clause that would have made Utah the first state in the U.S. to hold its own Bitcoin reserve.
The amended HB230 “Blockchain and Digital Innovation Amendments” bill now offers Utah residents fundamental custody protections, as well as the rights to mine Bitcoin (BTC), operate a node, and engage in staking, among other provisions.
With a 19-7-3 vote in favor on March 7, the bill is now set to be presented to Governor Spencer Cox of Utah for final approval and enactment.
The proposed reserve clause sought to empower Utah’s treasurer to allocate up to 5% of digital assets—specifically those with a market cap exceeding $500 billion over the previous calendar year—across five state accounts, with Bitcoin being the sole digital asset currently fitting this parameter.
While the reserve clause was approved during the second reading, it faced removal during the third and final reading. Subsequently, Utah’s House agreed to the amendment with a vote of 52-19-4.
“Concerns were raised regarding those provisions and the early adoption of such policies,” stated Senator Kirk A. Cullimore, one of the bill’s sponsors, during the March 7 session in Utah.
“Everything has been removed from the bill.”
Utah Senator Kirk A. Cullimore confirmed the amendment to HB230 that eliminated the reserve clause. Source: Utah State Legislature
Before March 7, Utah was on course to potentially become the first U.S. state to implement a Bitcoin reserve, according to Dennis Porter, CEO of the Satoshi Action Fund, who made predictions on February 2.
Now, two Bitcoin reserve bills from Arizona and one from Texas are in close proximity to becoming law, as indicated by Bitcoin Laws data. Each of these bills has successfully passed through their respective Senate committees and is awaiting a final vote on the floor.
Competition to establish a Bitcoin reserve at the state level across the U.S. Source: Bitcoin Laws
Out of the 31 Bitcoin reserve state bills that have been introduced, 25 are still active, including those from states like Illinois, Iowa, Kentucky, Maryland, Massachusetts, New Hampshire, New Mexico, North Dakota, Ohio, and Oklahoma.
Conversely, bills from Pennsylvania, Montana, Kentucky, and North Dakota have not succeeded.
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This development coincides with U.S. President Donald Trump’s signing of an executive order on March 7, which established a federal Strategic Bitcoin Reserve.
This reserve will be funded by Bitcoins acquired through criminal forfeitures, and instruction has been given to the Treasury and Commerce secretaries to devise budget-neutral strategies for the procurement of additional Bitcoins.
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