Emre Yumlu 
Illinois’ HB1844 bill proposes a state-managed Bitcoin reserve with a mandatory five-year holding period.
Illinois has become the latest U.S. state to advance a strategic reserve bill aimed at utilizing Bitcoin as a financial savings technology. Introduced by State Representative John Cabello, HB1844 proposes the creation of a special fund within the state treasury to hold Bitcoin as a financial asset.
Notably, the bill outlines a minimum five-year Bitcoin holding strategy following the establishment of the fund.
“The bill states that the State Treasurer shall hold all Bitcoin deposited into the Fund for at least five years from the date it enters the state’s custody.”
After the five-year period, the state treasury will be authorized to transfer, sell, allocate, or convert the Bitcoin in the fund into another cryptocurrency.
The bill was referred to the Rules Committee on January 29 to finalize the regulatory details and await legislative approval.
Illinois’ Bitcoin bill comes a day after the Arizona Senate advanced its Bitcoin reserve legislation, which aims to direct public funds and pension investments into Bitcoin.
Bitcoin Reserve Moves Forward with State-by-State Approach for Traditional Finance Integration
Illinois’ Bitcoin Act is seen as a “step in the right direction” for Bitcoin adoption in the U.S. According to Mouloukou Sanoh, co-founder and CEO of MANSA, this decision aligns with President Donald Trump’s broader vision of establishing a Bitcoin reserve.
“The decision to accept Bitcoin as a reserve asset is a bold step toward integrating cryptocurrency into traditional finance, positioning the state as a leader in blockchain innovation.”
Sanoh explained that while Illinois’ move might inspire other states, nationwide approval will likely progress more slowly, depending on regulatory clarity and market stability:
“For now, a state-by-state approach seems probable, allowing for experimentation and risk management before a broader consensus is reached.”
Additionally, Texas Lieutenant Governor Dan Patrick outlined the state’s 2025 legislative priorities on January 29, which included a proposal for a Texas Bitcoin Reserve. Two public officials in Texas have introduced legislation to create a Bitcoin reserve in the Lone Star State.
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