House Bill 4087

House Bill 4087 allows the State to invest up to 10% of certain state funds in cryptocurrency, with specific guidelines for secure management and potential loaning of these assets.

The full bill can be seen here:

The Michigan Bitcoin Trade Council is OPPOSING House Bill 4087.

Why?

The Michigan Bitcoin Trade Council opposes House Bill 4087 because there is no market capitalization number listed in the legislation that would prevent other cryptocurrencies other than Bitcoin from being bought by the state.

Allow other cryptocurrencies than Bitcoin to be part of a strategic cryptocurrency reserve would be creating unnecessary risk, as all other cryptocurrencies other than Bitcoin are centralized and subject to great risk.

The idea of a strategic Bitcoin reserve is an interesting one, but it must be crafted very carefully or other cryptocurrencies will attempt to use the state as a piggy bank to prop up their risky projects that are doomed to fail.

Bitcoin is the ONLY stable cryptocurrency and the only instrument that would be prudent for the state to invest in. This is why we do not support House Bill 4087 and encourage people to reach out to lawmakers to oppose the legislation.

Action Items

House Bill 4087 is in the House Communications and Technology Committee. Please call and email every member of the committee to explain to them the reasons why they should OPPOSE the passage of House Bill 4087.

House Communications and Technology Committee Leadership

Rep. Jaime Greene (Republican) District 65 - Chair
Phone: (517) 373-1775
Email: JaimeGreene@house.mi.gov

Rep. Tom Kunse (Republican) District 100 - Majority Vice Chair

Phone: (517) 373-7317

Email: TomKunse@house.mi.gov

Rep. Helena Scott (Democrat) District 8 - Minority Vice Chair

Phone: (517) 373-3815

Email: helenascott@house.mi.gov

House Communications and Technology Committee Membership

Rep. Pauline Wendzel (Republican) District 39

Phone: (517) 373-1799

Email: PaulineWendzel@house.mi.gov