New Mexico has proposed to invest 5% of public funds in Bitcoin under the Strategic Bitcoin Reserve Act, which aims to create a secure alternative treasury with strict oversight.

Wyoming, Texas, Utah, and Florida have also taken steps toward integrating Bitcoin into their financial systems and embracing crypto-friendly policies.

Looks like there’s no stopping the Bitcoin reserve movement anytime soon. New Mexico is the latest U.S. state to join the growing trend of Bitcoin adoption, a movement that has gained momentum since Donald Trump’s presidential victory in the 2024 elections.

The state government has introduced Senate Bill 275 (SB275), which proposes allocating 5% of public funds to Bitcoin investments. Named the “Strategic Bitcoin Reserve Act,” the bill was formally introduced by Senator Ant Thornton and is currently awaiting review by the Senate Taxation, Business, and Transportation Committee (STBTC).

With this proposed legislation, New Mexico is looking to expand its investment portfolio beyond traditional assets like stocks and bonds. The responsibility of managing the Bitcoin reserve would fall on the State Investment Officer, who will operate under the guidance of the State Investment Council. To ensure security, the state plans to store Bitcoin holdings in cold storage, a method that protects digital assets from cyber threats.

Senator Ant Thornton believes that creating a state-backed Bitcoin reserve will do more than just diversify investments; it could attract crypto businesses and investors to New Mexico. The proposal includes initiatives to inform the public about Bitcoin and digital asset management, ensuring that New Mexicans understand how these investments will be handled.