On May 6, 2025, a historic moment for New Hampshire: Governor Kelly Ayotte officially signed (House Bill 302), marking the state as the first in the nation to legislate the 'Strategic Bitcoin Reserve' plan. This is not only an important milestone in the history of cryptocurrency development but also a strong signal of active engagement by U.S. local governments in the digital asset space.
This bill is officially titled (Allowing the State Treasury to Invest in Precious Metals and Digital Assets), granting the state treasury the authority to include precious metals and digital assets (especially Bitcoin) in asset allocation, providing diversified and inflation-resistant reserve options for public funds.
📜 What does this bill say? Key highlights broken down point by point
1️⃣ Establishing a 'Strategic Reserve' framework
The new clause explicitly authorizes the New Hampshire State Treasurer to invest part of the public funds in:
Precious metals (gold, silver, platinum)
Digital assets (market cap over $500 billion, specifically referring to Bitcoin)
✅ Funding sources include general funds, income stabilization funds, and other legislatively authorized funds.
✅ Investment allocation cap: No more than 5% of the total public funds.
This means that in New Hampshire's financial reserves, up to 5% can be allocated to hold Bitcoin and precious metals, becoming a new asset allocation combination of 'hedging against inflation + diversified reserves.'
2️⃣ Secure custody is a core requirement
The bill sets detailed and strict technical requirements for the secure custody of digital assets:
The private key is held solely by the government
The private key is stored in secure data centers located in at least two geographical locations
Trading requires authorization from a multi-party governance structure
Accessing or storing private keys via mobile devices is not allowed
A disaster recovery mechanism must be in place
Regular independent third-party code audits and penetration tests are required
👉 This is the first time in the U.S. that legal texts explicitly define the technical standards for 'government-level secure custody' of digital assets.
3️⃣ Holding methods are flexible and diverse
Digital assets can be held in three forms:
Directly managed by the state treasury (must meet the above safe custody requirements)
Custodied by 'qualified custodians' (federally or state-regulated banks/trust companies, etc.)
Held through **exchange-traded products (ETPs)** issued by registered investment companies
Precious metals also offer three forms of holding:
Held through ETPs
Physically stored by qualified custodians
State governments hold physical assets directly or through interstate cooperation
This grants the treasury a high degree of operational flexibility, allowing for different forms of holding BTC and precious metals based on risk preferences and cost-effectiveness.
🎯 Why is New Hampshire doing this? Interpretation of policy signals
1️⃣ Hedging against inflation:
In a high-inflation context, Bitcoin is increasingly viewed as 'digital gold' by many institutions. Including BTC in strategic reserves is a new attempt for government-level fund management to **'diversify risks + hedge against inflation.'**
2️⃣ Leading financial innovation:
New Hampshire has historically been one of the most crypto-friendly policy states in the U.S., and this legislation further establishes its positioning as a 'digital asset-friendly state.'
3️⃣ Introducing 'non-traditional assets' to local finance:
By diversifying the reserve mix, reliance of public funds on a single fiat asset is reduced, providing potential 'unrelated' income sources for fiscal asset appreciation.
4️⃣ Demonstration Effect:
This bill is expected to inspire **more state governments to explore the public financial applications of digital assets like Bitcoin.** Although currently allowing a maximum allocation of 5%, once proven effective, the allocation ratio could be increased in the future.
🚩 Why is this bill of landmark significance?
✅ For the first time, Bitcoin is written into U.S. state law as a 'strategic reserve' asset
✅ For the first time, a legislative definition of 'government-level secure custody' standards for digital assets
✅ For the first time, the government is authorized to include digital assets in 'public funds' allocation
This is not merely a 'fiscal strategy' of a single state, but a test of a new asset management model and monetary concept.
As commented by the Bitcoin community: 'This is an important step for digital assets transitioning from 'private wealth allocation' to 'public asset management.'
💡 What do investors look for? Insights from Mlion.ai:
In light of the implementation of New Hampshire's 'Strategic Bitcoin Reserve' bill, the crypto market needs to pay attention to three potential impact pathways:
1️⃣ Policy signal spillover effect:
Will other digital asset-friendly states (like Wyoming and Texas) follow suit?
Will more states participating in 'Bitcoin Strategic Reserves' provide structural buying support for the market?
2️⃣ The pace of public fund entry:
Although the allocation cap is 5%, involving hundreds of billions in funds, how will it be executed and what will the entry pace be?
Is it a one-time purchase or a phased accumulation?
3️⃣ On-chain transaction dynamics and fund flows:
Are there already deployment signals from related large chain addresses? Will there be an indirect increase in holdings through ETPs? These are worth closely monitoring.
👉 Amid these uncertainties and signals, through Mlion.ai's large on-chain transaction monitoring, policy analysis, and fund flow analysis functions, one can detect fund anomalies and policy extension effects earlier.
Conclusion:
This bill from New Hampshire, to some extent, **opens the Pandora's box of 'government formal participation in crypto assets.'** Although currently just a 'symbolic' 5% allocation, if this path is proven safe and feasible, it could mean more public funds 'doubling down' on digital assets in the future, and even influence the fiscal policies of other states and countries.
A new digital asset ecosystem and financial system is quietly taking shape.
Disclaimer: The above content is for information sharing only and does not constitute any investment advice! Investment carries risks; please tread carefully.