A newly proposed bill in North Carolina, House Bill 506 (HB506), seeks to establish a state investment authority with the authority to allocate a portion of public funds to cryptocurrencies, including Bitcoin.
According to a report by Bitcoin Laws, the legislation would create the North Carolina Investment Authority (NCIA), an independent body headed by the state treasurer with the authority to invest up to 5% of various state funds in digital assets.
While some reports have described the bill as creating a “Bitcoin reserve,” HB506 does not actually create a state-held BTC fund with mandated assets. Instead, it follows a similar model to recent legislation in Florida—House Bill 487 (HB487) and Senate Bill 550 (SB550), which authorized state-level public funds to invest in Bitcoin but did not impose mandatory reserve requirements.
This approach to state-backed Bitcoin investment differs from other legislative efforts around the country. For example, Texas Senate Bill 21 (SB21) represents a more direct example of a state BTC reserve (SBR), while Minnesota’s SF2661 allows investment in Bitcoin through state pension funds but not direct state investment.
*This is not investment advice.
