Kansas Eyes Bitcoin for State Treasury

Kansas is considering a novel approach to managing digital money. Lawmakers are proposing a special fund for Bitcoin and other digital assets, not just to hold them but to actively manage and grow the assets.

Updating Unclaimed Property Laws

The proposal involves updating old laws about unclaimed property. Currently, if Bitcoin remains unclaimed for three years, it could be turned over to the state. However, this only applies to Bitcoin held by companies like exchanges, not those in personal wallets.

Managing State-Held Assets

Once the state acquires these unclaimed assets, it won't simply sell them off. Instead, it may stake them to earn more or hold them as a long-term investment. This approach is significant as it treats Bitcoin differently from other state funds.

Rules for Selling Assets

The bill also outlines rules for selling these assets. If a cryptocurrency is traded on major exchanges, it should be sold at market price. For those that aren't, other fair methods can be used. The goal is to avoid causing big swings in the market.

Long-Term Financial Strategy

This move isn't just about making money. It's about integrating digital assets into the state's financial strategy. If passed, Kansas would join other states exploring how to use Bitcoin and other digital assets in the long run.