- South Carolina introduced the “Strategic Digital Assets Reserve Act of South Carolina.”
- State lawmaker Jordan Pace introduced the bill as Kentucky and Arizona embrace BTC.
- The bill proposes the South Carolina treasurer to create a Bitcoin reserve of up to 1 million BTC.
South Carolina has taken a significant step toward potentially allowing Bitcoin into its state financial strategy. State Representative Jordan Pace introduced the “Strategic Digital Assets Reserve Act” (House Bill 4256) on March 27.
The proposed legislation would permit the state treasurer to allocate up to 10% of certain state funds into cryptocurrencies, with a specific emphasis on Bitcoin. If enacted, South Carolina would join a growing number of US states exploring Bitcoin as a potential strategic reserve asset.
What Does South Carolina’s Bitcoin Reserve Bill Propose?
HB 4256 specifically enables the current South Carolina treasurer, Curtis Loftis, to establish and manage a state Bitcoin reserve. The text references a potential holding ceiling of up to 1 million BTC, language that mirrors ambitions discussed related to federal plans under the Trump administration.
If adopted, these state Bitcoin holdings could potentially be allocated across various state accounts, including the General Fund and the Budget Stabilization Reserve Fund (often called a “rainy day” fund).
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According to tracking data from Bitcoin Law, approximately 42 similar Bitcoin reserve-related bills have been introduced across 24 states to date, with around 36 reportedly still active legislative items.
How Does This Fit Broader US Crypto Adoption Trends?
This state-level proposal comes as related activity occurs nationally. Earlier this month, President Trump signed an executive order aimed at creating a federal Strategic Bitcoin Reserve, intended to comprise assets seized via forfeiture cases rather than new purchases.
Separately, Arizona has advanced two bills (SB 1373 and SB 1025) concerning state holding of digital assets obtained through various means.
Kentucky also recently took a pro-crypto stance; Governor Andy Beshear signed House Bill 701 to ensure protections for Bitcoin self-custody and node operation, while preventing discriminatory zoning against Bitcoin miners.
What Does Current Bitcoin Market Analysis Suggest?
While policymakers deliberate Bitcoin’s role in state and federal strategies, market analysts currently offer differing short-term views on its price trajectory. Analyst “Mister Crypto,” for instance, suggests Bitcoin is nearing a potential breakout from a triangular consolidation pattern observed on its chart.
Such technical patterns often precede a bullish rally if resistance is overcome. His analysis indicates that a successful breach of upcoming resistance could position Bitcoin to target significantly higher price levels in the months ahead.
In contrast, analyst “CryptoGoos” predicts Bitcoin dominance—BTC’s share of the total crypto market capitalization—is likely to fall soon.
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CryptoGoos suggests BTC dominance is approaching a long-term resistance level on its chart and could face a sharp decline. If this analysis proves correct, such a pattern has historically signaled the potential start of an “altcoin season,” a period where alternative cryptocurrencies may generate larger percentage gains relative to Bitcoin.
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