Missouri lawmakers have advanced a bill that would authorize the state treasury to buy and hold bitcoin for a minimum of five years, making it one of the more structurally distinct proposals in a wave of state-level bitcoin reserve legislation sweeping the United States.
The initiative, introduced in early 2026, would allow the state treasury to hold Bitcoin alongside traditional assets.
A development closely watched by crypto investors assessing long-term institutional demand.
The bill, known as House Bill 2080, was introduced by Republican Representative Ben Keathley and recently advanced to the Missouri House Commerce Committee.
If passed, Missouri would join a growing list of states considering Bitcoin reserves as a hedge against inflation and currency risk.
The proposal arrives amid increasing political and institutional interest in Bitcoin across the United States, raising questions about whether state-level adoption could become a major catalyst for future BTC price cycles.
Missouri’s bitcoin reserve proposal gains traction
Missouri’s legislation seeks to create a Bitcoin Strategic Reserve Fund managed by the state treasurer.
Under the proposal, the treasury would be authorized to receive, invest in, and hold Bitcoin using state funds as well as donations, grants, or gifts from residents and government entities.
The bill also includes a long-term holding requirement: Bitcoin acquired under the program must be held for at least five years before it can be sold or converted.
Supporters argue that integrating Bitcoin into state reserves could diversify public investments while protecting purchasing power against inflation.
“Creating a Bitcoin reserve allows states to explore alternative assets that may preserve value over time.” Ben Keathley, Missouri State Representative, said in legislative remarks summarized in bill documentation.
The proposal follows a similar Missouri bill introduced in 2025 that stalled in committee.
The structure of the bill is particularly notable because it enables both direct acquisition and passive accumulation through contributions.
A nationwide push toward state-level bitcoin treasuries
Missouri’s move is not happening in isolation. Nearly two dozen U.S. states have proposed or explored Bitcoin reserve legislation.
Texas, for example, passed legislation in 2025 establishing a strategic Bitcoin reserve fund, allowing the state to purchase cryptocurrency as a long-term financial asset.
Other states including Florida, Massachusetts, Michigan, and Kentucky have introduced similar proposals.
While some efforts have faced resistance or legislative rejection due to concerns about volatility and regulatory uncertainty.
Industry analysts believe widespread adoption could materially affect Bitcoin markets.
Strategic Bitcoin reserves across U.S. states could generate more than $23 billion in potential demand if widely implemented, according to estimates cited by asset manager VanEck.
That scale of potential accumulation is one reason institutional investors are closely monitoring policy developments rather than focusing solely on private-sector adoption.
Why states are turning to bitcoin now
Several macroeconomic and political factors are driving the push toward state Bitcoin reserves.
First, inflation concerns and long-term currency depreciation have encouraged policymakers to explore alternative stores of value.
Bitcoin’s fixed supply and growing institutional acceptance have positioned it as a potential hedge similar to gold in earlier eras.
Second, federal policy momentum has reinforced legitimacy. In March 2025, a U.S. executive order established a national Strategic Bitcoin Reserve using government-owned BTC holdings.
Finally, competition between states to attract crypto businesses and innovation hubs has intensified.
This policy competition may represent a structural demand driver distinct from traditional market cycles driven by retail speculation.
Risks, skepticism, and market implications
Despite growing support, Bitcoin reserve proposals remain controversial.
Critics argue that cryptocurrency volatility could expose public funds to unpredictable risk.
Similar concerns led lawmakers in South Dakota to reject a Bitcoin reserve bill after officials questioned Bitcoin’s lack of income generation and price stability.
Opponents also warn that government adoption could politicize crypto markets or introduce regulatory complexity.
Still, proponents counter that limited allocations and long holding periods reduce risk while positioning states for potential upside if Bitcoin continues to mature as a global reserve asset.
If more states follow through, analysts say state-level accumulation could create steady, long-term buying pressure.