West Virginia considers Bitcoin and gold for treasury

West Virginia may allow its treasury to invest up to 10% in gold, Bitcoin, and approved stablecoins, with strict rules. The bill is under committee review.

West Virginia lawmakers have introduced the Inflation Protection Act, a bill that would allow the state treasury to invest up to 10% of its assets in precious metals, digital assets, and stablecoins. The legislation requires digital assets to have a minimum market capitalization of $750 billion in the prior calendar year, which currently limits eligibility to Bitcoin. Gold is included as a traditional hedge, while stablecoins must have explicit regulatory approval from federal or state authorities. The bill outlines secure custody options for digital assets, including qualified third-party custodians and exchange-traded products. It also introduces provisions for staking, potentially allowing the state to earn yield on Bitcoin holdings. The proposal aims to diversify state reserves and protect taxpayer funds from inflation and currency risk, balancing volatility with stability. Currently under committee review, the bill could make West Virginia one of the first states to formally integrate Bitcoin and digital assets into its treasury strategy, potentially sparking broader debate on the role of digital assets in public finance.