Florida Considers Bitcoin as a Strategic Reserve as Early as 2025

Florida Considers Creating Bitcoin Reserve Fund: A Risky But Promising Move?

Florida is planning to invest in Bitcoin to protect its economy against inflation, with a proposal to use 1% of its budget surplus to create a reserve fund in the first quarter of 2025 .

This is an effort to integrate cryptocurrencies into state-level financial strategies, marking a new step forward in the US.

Plan to Invest 1% of Budget Surplus
The leader of this initiative, Samuel Armes , President of the Florida Blockchain Association, shared:

“Florida has a great opportunity to lead the way in using Bitcoin as a reserve asset. With just 1% of its budget surplus, the state could create a $1.165 billion Bitcoin fund.”

Florida now houses the fourth-largest pension fund in the US, worth more than $1.865 trillion , and has entered the cryptocurrency space through investments in Bitcoin-related stocks like MicroStrategy and Coinbase .

Benefits and Risks
The plan is intended to help Florida hedge against inflation and diversify its reserve assets.

However, critics say Bitcoin's price volatility could expose the state to major risks if the market becomes unstable.

Jimmy Patronis , Florida Financial Director, commented:

“Crypto is not a short-term trend. It will continue to grow, and ignoring this opportunity would be a mistake.”

Florida In State Race
Florida's proposal received attention not only domestically but also from other states like Wyoming , which is known for its crypto-friendly policies.

Senator Cynthia Lummis shared:

“States are competing to become the innovation hub for blockchain technology. It’s a promising race.”

Support From Federal Government
Florida’s plans come in tandem with crypto-friendly appointments from President-elect Donald Trump’s administration :

David Sacks , former COO of PayPal, appointed as advisor on artificial intelligence and cryptocurrencies.
Paul Atkins , a long-time Bitcoin supporter, was selected as SEC Chairman.
New Step or Step Back?
Florida is embarking on a bold but risky move.

Will this initiative help the state become the new crypto financial center of the US, or will it be a costly lesson in public financial management?

The answer will gradually be revealed when the proposal is officially approved in 2025.