New Hampshire has officially made history by becoming the first U.S. state to sign into law a bill allowing part of its financial reserves to be invested in Bitcoin and other digital assets. The new legislation, signed on May 6, 2025, by Governor Kelly Ayotte, authorizes the state to allocate up to five percent of its total reserve funds into BTC or other eligible digital currencies. The law is set to take effect by July 2025.

Governor Ayotte praised the bold move in a public statement, emphasizing the state’s leadership in embracing financial innovation. “New Hampshire is once again first in the Nation,” she said. “Just signed a new law allowing our state to invest in cryptocurrency and precious metals.”

The legislation, known formally as House Bill 302 (HB 302), originates from a proposal by the Satoshi Action Fund, a well-known Bitcoin advocacy group. The bill allows the state treasury to create a new Bitcoin and Digital Asset Reserve Fund, with investments directed toward assets with a market capitalization of at least $500 billion. This ensures that only the most established digital assets—such as Bitcoin—qualify for inclusion, minimizing exposure to lesser-known or volatile tokens.

According to the law, the investments can be made through either custodians or regulated exchange-traded funds (ETFs), and holdings will be capped at a maximum of five percent of the state’s overall reserve portfolio. This cautious yet forward-thinking approach signals a shift in public policy as state governments begin to consider digital assets as viable stores of value.

Industry figures have welcomed the legislation. Nate Geraci, president of ETF Store, took to social media to praise the move, calling it a clear sign that cryptocurrencies are no longer on the fringe of financial policy. “And you still think crypto is a scam. Time to pay attention,” Geraci posted, echoing growing sentiment that crypto is gaining legitimacy in traditional finance circles.

The news comes after Arizona, a frontrunner in the race to pass similar legislation, failed to push its Bitcoin reserve bill through. The Arizona governor vetoed the proposed law, citing concerns about potential risks to public and retirement funds. Despite strong local support, the political appetite for crypto exposure in Arizona appears to have cooled—for now.

In contrast, New Hampshire has taken a calculated but confident step forward. The state’s move sets a potential precedent that could influence other states to consider similar legislation. States like North Carolina and Texas have already shown interest in exploring blockchain and cryptocurrency policies, and may now feel encouraged to revisit or accelerate their plans.

The law will take effect 60 days after signing, meaning July 2025 will likely mark the state’s first allocation into Bitcoin or another qualifying digital asset. Market watchers and analysts will be paying close attention to how much New Hampshire allocates in its initial purchase, and how it structures its custodial and risk management strategies.

While critics argue that cryptocurrencies remain too volatile for public reserve funds, supporters believe that measured exposure to digital assets can act as a hedge against inflation and economic uncertainty. With the rise of institutional crypto adoption and regulatory clarity improving in the U.S., New Hampshire’s move may look increasingly prudent rather than risky.

If the law proves successful, it may well open the door for a wave of similar bills across the country. What was once a speculative fringe movement now appears to be edging into the mainstream, one state at a time.

New Hampshire’s decision to embrace Bitcoin as part of its official reserves could be the start of a broader trend in U.S. financial policy—where digital assets are no longer viewed with skepticism, but as strategic components of a modern economic toolkit.