US Congressman and Florida gubernatorial candidate Byron Donald has proposed that the state establish a Bitcoin Reserve, claiming that digital assets will serve as guardians against inflation and federal monetary policy.
In an interview with Fox Business on March 10th, Donald proposed that Florida retain Bitcoin as part of his financial strategy and distinguish it from broader crypto investments.
Donald said:
“What I’m proposing in Florida is not just a cryptographic sanctuary, it’s a Bitcoin sanctuary. Bitcoin has proven to be a long-term value holder.”
He pointed to the historic price rise for Bitcoin, pointing to an increase of over $80,000 today from $500 in 2015. He compared Bitcoin to gold, highlighting its rarity and potential role as a valuable repository.
He also criticised the Federal Reserve’s monetary policy, claiming that excessive printing of money weakened the US dollar.
He said:
“Having a Bitcoin reserve as part of our Florida portfolio could provide long-term value as Congress did not curb spending.”
Funding and implementation
When asked if taxpayer dollars should be used to acquire Bitcoin, Donald suggested that funding protected areas could be provided through existing state surplus rather than new tax revenue.
He made it clear that “these are not new taxes,” but did not specify how the state would make such purchases.
Donald compares this concept with pension funds investing in securities and argues that Bitcoin has the potential to be long-term valuation, similar to traditional assets. He also likens the idea to strategic reserves of oil, suggesting that holding Bitcoin could serve as a financial hedge for the state.
His proposal is to establish both a strategic Bitcoin reserve and a strategic digital asset stockpile amid President Donald Trump’s recent executive order.
Growth trends
Donald’s proposal follows a similar move by other states considering Bitcoin as a reserve asset. In late 2024, Pennsylvania introduced a law that allocated 10% of its general and rainy day funds to Bitcoin.
More than 20 other states have proposed similar laws, and Texas is the farthest to fully adopt them. Meanwhile, several states, including Utah, have decided to abandon the reserves for now.
While Florida has yet to take any concrete steps towards establishing a Bitcoin reserve, Donald’s proposal has been gaining interest among digital asset policymakers as part of a long-term financial plan. Whether the initiative gains traction or not may depend on the outcome of the state’s upcoming governor race.
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