Michigan Moves to Ban CBDC Advocacy 🏛️

In a new push to regulate cryptocurrency within Michigan, state lawmakers have introduced four bills targeting various aspects of crypto usage and investment. These measures come amid broader state and federal discussions on cryptocurrency regulation. The first proposed bill, HB 4510, seeks to amend the "Public Employee Retirement System Investment Act," authorizing the state treasurer to invest in significant cryptocurrencies. The bill stipulates that digital assets should be held through exchange-traded products issued by registered investment firms. An earlier bill in February had suggested allocating up to 10% of Michigan's general and economic stabilization funds to cryptocurrency to diversify investments and possibly enhance returns. HB 4511 follows by aiming to protect the rights of individuals to hold cryptocurrency, prohibiting state interference. It also bans certain government figures from endorsing U.S. central bank digital currencies. Further, HB 4512 and HB 4513 address cryptocurrency mining and related tax laws. HB 4512 proposes a bitcoin mining initiative at defunct oil and gas sites, contingent on necessary restoration activities. HB 4513 changes the 1967 income tax act to account for bitcoin mining income from these sites. These legislative efforts reflect a growing trend, as states like New Hampshire and Arizona enact their own strategic bitcoin reserves. The actions coincide with a national strategy, noted by President Trump’s executive order to initiate a bitcoin reserve. This comprehensive approach in Michigan reflects increasing state engagement with the evolving digital currency landscape.