Florida lawmakers have reinitiated a significant legislative push to establish a state-run cryptocurrency reserve, following a previous stalled attempt. New legislation, House Bill 1039, filed on January 7 by Republican Rep. John Snyder for the upcoming 2026 session, proposes the creation of a 'Strategic Cryptocurrency Reserve Fund'. This fund is designed to operate independently, outside of Florida’s primary treasury, marking a focused effort to integrate digital assets into the state's financial strategy.

HB 1039 empowers the state's Chief Financial Officer (CFO) to strategically invest public funds in digital assets. To ensure responsible management, the proposal outlines a comprehensive set of guardrails, including mandatory independent audits, stringent reporting requirements, and advisory oversight. Furthermore, the bill mandates the establishment of an advisory committee tasked with guiding investment strategy and managing associated risks. These provisions are explicitly designed to address concerns regarding the inherent volatility of digital currencies while affording the state sufficient flexibility to act.

This renewed legislative effort represents a strategic reset rather than a complete departure from previous proposals. Earlier versions of Florida legislation, floated in 2025, were broader in scope and aimed at allowing more extensive crypto investments. However, those measures were withdrawn due to resistance concerning their breadth and potential risks. The current framework of HB 1039 significantly narrows the focus, reflecting a growing preference among Republican lawmakers to treat Bitcoin as a reserve-style asset, rather than a speculative trade. Under this bill, the CFO retains full discretion over whether and when to invest, with no minimum allocation mandated, contrasting with earlier proposals that suggested up to 10% of certain state-managed funds could be allocated to Bitcoin. Crucially, the reserve will be situated outside of existing pension and retirement accounts.

While the legislation does not explicitly name Bitcoin, its eligibility criteria effectively limit investments to this specific digital asset. Only digital assets that have sustained an average market capitalization of at least $500 billion over the preceding 24 months would qualify. Currently, Bitcoin is the sole cryptocurrency meeting this stringent threshold, boasting a market capitalization exceeding $1 trillion, while other prominent cryptocurrencies like Ethereum fall considerably short.

Supporters of the proposal, including Florida Chief Financial Officer Jimmy Patronis, frame it as a prudent financial hedge rather than a speculative gamble. Patronis has publicly likened Bitcoin to “digital gold,” suggesting that a limited exposure could contribute to diversifying state-managed funds over extended time horizons. The bill itself articulates that the primary intent of the reserve is to safeguard public assets against the erosion of value caused by inflation and currency debasement.

Florida's cautious and targeted approach mirrors similar initiatives in other U.S. states that have also refined their focus to Bitcoin after initial attempts at broader crypto exposure. New Hampshire, for instance, became the first state to explicitly permit public funds to be invested in cryptocurrency, granting its treasurer authority to allocate up to 5% of specific portfolios. Texas also made a small Bitcoin ETF purchase in late 2025 as part of its own reserve strategy. Wyoming, in contrast, has concentrated on enacting a series of laws that clarify the legal status of digital assets without committing public funds to investments.

This proposal also aligns with Florida’s broader stance on digital money. In 2023, Governor Ron DeSantis signed legislation that effectively blocked central bank digital currencies (CBDCs) from being recognized under the state’s commercial code. This move positioned Florida as openly skeptical of federally issued digital money while simultaneously demonstrating an openness to decentralized alternatives such as Bitcoin. Should HB 1039 and its Senate companion bills be passed, Florida would become one of the largest U.S. states to formally experiment with cryptocurrency as a reserve-class asset. Proponents contend that a tightly governed reserve would enable the state to gain exposure to digital assets without jeopardizing core public funds. Conversely, critics highlight Bitcoin's well-documented history of sharp price fluctuations and question the appropriateness of exposing public money to such volatility.

The path to implementation for HB 1039 and its Senate companions involves successfully navigating committee hearings and floor votes during the 2026 legislative session. The bills include a conditional effective date of July 1, 2026, meaning that their provisions would only come into force if the entire legislative package receives approval and is signed into law.