South Carolina has introduced the 'Strategic Digital Assets Reserve Act,' allowing the state treasurer to invest up to 10% of certain public funds in Bitcoin.

Digital assets must be securely held by the state treasurer, a qualified custodian, or in regulated exchange-traded products, with no lending of assets permitted.

Transparency is a key focus, requiring the state treasurer to publish the public addresses of the reserve's holdings for citizen verification.

Biennial reporting of digital asset holdings and their value in US dollars is mandated, along with the publication of asset addresses on an official state website.

A new department within the Treasurer’s Office will oversee the Bitcoin reserve, with plans for monthly audits and the establishment of a Bitcoin Economic Advisory Board.

The North Carolina Investment Authority will evaluate the risk and reward of each digital asset, ensuring secure custody solutions for fund storage.

The bill is designed to provide financial flexibility rather than impose strict investment mandates, which may enhance its chances of acceptance.

Supporters believe the initiative could attract crypto businesses, while critics express concerns over Bitcoin's volatility and regulatory definitions.

If successful, this legislation could inspire other states to consider similar cryptocurrency adoption, potentially reshaping public finance discussions nationally.

The legislation, initiated by Representative Brenden Jones on March 24, 2025, includes provisions for secure storage and management of Bitcoin holdings.

To ensure security, the bill mandates that Bitcoin be stored in cold storage wallets with multi-signature authentication and undergo monthly audits.

The legislation emphasizes a long-term investment strategy, prohibiting the sale of Bitcoin investments except during extreme financial distress.