Florida Abandons Bitcoin Reserve Bills, Signaling Crypto Retreat in State

According to the Florida Senate’s official legislative records, the bills were “indefinitely postponed and withdrawn from consideration”. The legislation, first introduced in February, sought to authorize Florida’s Chief Financial Officer to invest up to 10% of certain surplus funds — including the General Revenue Fund and the Budget Stabilization Fund — into Bitcoin as a long-term strategic asset.

The move comes just weeks after HB 487 had unanimously passed the House Insurance and Banking Subcommittee in April, generating optimism that Florida might soon become the second U.S. state after New Hampshire to formally hold Bitcoin on its balance sheet.

The withdrawal represents a notable policy reversal, especially given Florida’s reputation as a crypto-friendly jurisdiction under Governor Ron DeSantis. The state has previously taken steps to embrace blockchain technology and attract digital asset firms. But the momentum appears to have stalled as lawmakers grow increasingly cautious about the risks of exposing public funds to Bitcoin’s volatility.

Legislative aides familiar with the matter cited a “lack of sufficient consensus” and mounting concerns over fiscal prudence, particularly in the wake of fluctuating cryptocurrency prices and persistent skepticism from some corners of the state legislature. No public statement has yet been issued by the bills’ sponsors or by Chief Financial Officer Jimmy Patronis, who had previously voiced openness to digital innovation in finance.

Florida is not alone in rethinking its approach to crypto reserves. Several states that had introduced similar bills in 2023 and 2024 — including Wyoming, Oklahoma, and Pennsylvania — have seen those proposals stall or be rejected entirely. In most cases, opposition stemmed from concerns over regulatory clarity, market volatility, and the potential political fallout of tying taxpayer funds to a highly speculative asset class.

By contrast, New Hampshire has emerged as the leader in this space. On May 6, Governor Kelly Ayotte signed House Bill 302 into law, officially authorizing the state treasurer to invest up to 5% of public funds into Bitcoin and other qualifying digital assets. The bill is the first of its kind to become law and reflects growing support for Bitcoin as a hedge against inflation and a diversification tool for government reserves.

Arizona came close to passing similar legislation, with Senate Bill 1025 clearing both legislative chambers earlier this year. However, it was ultimately vetoed by Governor Katie Hobbs, who cited the asset’s volatility and called for more comprehensive oversight before such investments could be considered prudent.

Bitcoin has recently surged on the back of institutional inflows from spot Bitcoin ETFs and growing speculation around broader government adoption. Yet even as Bitcoin cements its position in the portfolios of private firms and public companies like Strategy and Metaplanet, state treasurers face much stricter fiduciary requirements.

Experts say that while the idea of Bitcoin reserves offers long-term strategic benefits — such as protection against fiat debasement and global economic shifts — the political appetite for such policies remains fragile.

For Florida, the decision may simply represent a tactical retreat rather than a wholesale rejection. Lawmakers could revisit the proposal in future legislative sessions, particularly if Bitcoin continues to gain legitimacy through ETF adoption, corporate balance sheets, and international monetary discussions.

Until then, Florida’s retreat marks a pause — not a full stop — in the journey toward U.S. government Bitcoin holdings.