Florida may be ready to launch a Bitcoin reserve across the entire state in early 2025, as per Samuel Armes (the President of the FBBA), who came out with the news this past week. Armes delineated his idea of the project, comprising Florida’s pension fund, budget surplus, and other sources that will create a considerable cryptocurrency reserve.
Florida’s Bitcoin Investment Push
In a December 3 X post, Armes suggested that directing just one percent of Florida’s huge $185.7 billion pension fund to Bitcoin would lead to a $1.857 billion reserve. He further disclosed that Florida has already been involved in cryptocurrency-related investment via the pension fund.
“To be clear, Florida already bought some Bitcoin and crypto-related assets through our pension fund,” said Armes. “The pension distributes money to hedge funds. Some of those hedge funds have purchased shares in various stocks in the Bitcoin space (miners, MSTR, Coinbase are examples) besides also buying liquid tokens,” he said.
Armes also pointed out that Florida could consider allocating one percent of its $116.5 billion budget surplus, which would be $1.165 billion, to Bitcoin investments. He displayed certainty regarding the state’s legislative sector, claiming, “My organization, together with three other pro-Bitcoin bills, will vigorously push for this in the upcoming session of the legislature.”
Florida Leaders Back Bitcoin Reserve
Speaker Danny Perez and Senate President Bill Albritton are among the prominent Florida politicians who are now on record as being pro-Bitcoin and who might be able to assist in bringing about a Bitcoin reserve bill. Additionally, Governor Ron DeSantis has been an outspoken supporter of Bitcoin, especially in opposition to the idea of a central bank digital currency (CBDC).
In an April 2023 X post, he stated, “Unaccountable institutions cannot impose a CBDC on Americans.” “They claim that CBDC will not be misused, but we are educated enough to recognize that as a fallacy.” Legislator Cynthia Lummis (R-WY), who had been pushing for a national Bitcoin reserve for quite some time, seemed to back Florida’s prospective effort. “States are the incubators of great ideas,” Lummis remarked in a post on December 4th.
“We’re embracing the friendly competition as it’s a race to the top.” Bitcoin’s strong market success has accelerated the discussion. This week, the cryptocurrency soared beyond $100,000 due to rising popular adoption and the U.S. approval of multiple spot Bitcoin ETFs.
Securities and Exchange Commission earlier this year. Another factor contributing to Bitcoin’s increasing popularity is President-elect Donald Trump’s summer plan to create a national holding. However, certain states, like Florida, may take the lead and pave the way for decentralized adoption there.
Other states may look to Florida’s plan to create a cryptocurrency reserve as a model as Bitcoin’s popularity grows. The Sunshine State is working to establish itself as a major participant in the expanding Bitcoin market through several means, including pension money, budget surpluses, and legislative backing.
In Summary
Florida intends to invest some of its pension fund and budget surplus in Bitcoin, launching a reserve by early 2025. Samuel Armes, the president of the FBBA, recently disclosed that the state of Florida’s pension fund had invested in Bitcoin. In opposition to digital currencies issued by central banks, the project has the support of prominent Floridians, including Governor Ron DeSantis. The Sunshine State hopes to take the lead in cryptocurrency adoption as Bitcoin’s popularity continues to rise, and it may serve as an example for other states to follow.
FAQs
How much of Florida’s pension fund will be allocated to Bitcoin?
Samuel Armes suggests directing 1% of Florida’s $185.7 billion pension fund, equating to $1.857 billion.
Has Florida already invested in Bitcoin?
Yes, Florida’s pension fund has already invested in Bitcoin and crypto-related assets through hedge funds.
Who supports the Bitcoin reserve initiative in Florida?
Florida politicians, including Governor Ron DeSantis and Speaker Danny Perez, support the Bitcoin reserve initiative.
How might Florida’s plan influence other states?
Florida’s Bitcoin reserve could serve as a model for other states seeking to adopt cryptocurrency.
