Connecticut legislators unanimously adopted a bill prohibiting divisions of the State and the local government to accept cryptocurrency payments and to have cryptographic assets.
The bill of Chamber 7082, entitled “An act concerning various revisions of the laws on the transmission of money, the payments of the states and the investments in virtual currency […]”Received bipartite support and was promulgated on Tuesday.
The bill document stipulates that “neither the State nor any political subdivision of the State” must accept payments in cryptocurrency or buy cryptographic assets.
The legislation also prohibits the state of Connecticut from establishing a reserve of cryptographed assets, which makes it one of the rare American states which explicitly rejected the idea of reserves of cryptographic assets.
Democrats push the bill
Presented for the first time by the Connecticut joint committee on the banks in February 2025, the bill was co -pacarrained by the Democrats, including the representative of the State Ken Gucker, Senator Patricia Miller and Senator Matthew Less.
Since the first vote in May, the bill has received broad support from the House, with 105 votes supporting the bill and only 42 legislators voting against him during a vote on May 14.
The last adoption came from 148 votes in favor of the bill and from zero opponents, with three abstentions.
Some online commentators have cited the major majority of the Democratic Party in Connecticut as a key engine of unanimous vote, in particular in the broader criticism of the party towards the involvement of President Donald Trump in mecoins and digital assets.
In relation: The bill on the Crypto asset reserve in the Ukrainian Parliament
A related proposal, the law on the application of emoluments and modern misuses, or the law on memes, aims to prevent federal officials from using their positions to take advantage of the same.
The prohibition “does nothing substance”
According to some online industry observers, the prohibition of Connecticut on cryptographic investment by the State is probably motivated by concerns about volatility and regulations, but it could become an obstacle to innovation.
On the other hand, the founder of Brogan Law, Aaron Brogan, told Cintelegraph that the prohibition “does nothing substance”, and reflects rather that “certain subsets of democrats become polarized against the cryptocurrency industry”, probably because of his association with Trump.
“This indicates that Connecticut is symbolically opposed to cryptocurrency and to all the states that have established Bitcoin reserves,” said Brogan, adding: adding: adding: adding: adding: adding: adding: adding: adding: adding: adding: adding
“States legislatures like to prohibit things that did not happen anyway, because that makes the headlines without the annoying problem of really having consequences in the real world.”
Brogan also stressed that the Governor of Connecticut must always sign the law and highlighted additional disclosure requirements targeting money issuers in the private sector.
“This could potentially be expensive and branch off professional practices in the way California’s confidentiality laws have some online applications,” he said.
Growing list of states rejecting Bitcoin reserves
Under the Trump administration, the number of American states considering Bitcoin reserve proposals (BTC) has increased, the number of Bitcoin Reserve Strated Dolars (SBR) reaching 31, according to data from Bitcoin laws.
Connecticut, however, is not the only one to reject such initiatives, with legislators in five states – Montana, Wyoming, North Dakota, South Dakota and Pennsylvania – Killing SBR invoices in February only.
In March, the Utah Senate adopted a Bitcoin bill, but modified it to remove a section which would have authorized the state treasurer to invest in Bitcoin. The state of Oklahoma followed in April while the Senatorial Revenue and Tax Committee also rejected a SBR proposal during a vote of 6 to 5.
The list of States rejecting the bills linked to the Bitcoin reserve continued to grow in May, by Florida indefinitely postponing its SBR bill in early May and the governor of Arizona between two cryptographic bills.
Review: American risks are “front run” on the Bitcoin reserve by other nations: Samson Mow
