Florida’s cryptocurrency landscape is poised for a significant shift as Representative Webster Barnaby has filed House Bill 183, a revised measure permitting the state to allocate up to 10% of public funds into digital assets, including Bitcoin. The introduction of this bill marks Barnaby’s second attempt at establishing a state crypto reserve, following the withdrawal of his first proposal, HB 487, earlier this year in June.
Filed on October 16, 2025, HB 183 expands the investment scope beyond a Bitcoin-only focus, now encompassing a variety of digital assets such as crypto exchange-traded funds (ETFs), tokenized securities, non-fungible tokens (NFTs), and other blockchain-based products. This diversification aims to provide Florida with a more robust framework for building its digital asset portfolio.
In response to concerns raised during the previous legislative session, the new bill introduces enhanced custody standards, documentation procedures, and fiduciary responsibilities to ensure responsible management of these investments. This framework is expected to address the growing need for security and transparency in the handling of digital assets.
Investment Authorization and Timeline
If passed, the legislation would empower the State Board of Administration to invest pension and trust funds in digital assets, with a projected effective date of July 1, 2026. The bill would allow Florida’s chief financial officer to invest up to 10% of specified public funds, including the General Revenue Fund and the Budget Stabilization Fund, in these emerging financial instruments.
Additionally, the Florida Retirement System’s System Trust Fund would also be authorized to allocate a portion of its assets to digital investments. This initiative could pave the way for innovative financial strategies within public sector funding, enhancing the state’s ability to adapt to changing market dynamics.
The legislation also includes provisions allowing Florida residents to utilize digital assets for certain tax and fee payments, with the stipulation that these transactions will be converted to U.S. dollars prior to transfer to the state’s general fund.
State-Level Crypto Legislation Landscape
This renewed effort from Florida comes amidst a broader backdrop of state-level cryptocurrency reserve initiatives. In 2025, while many proposed bills failed to progress, only three states—Arizona, New Hampshire, and Texas—successfully enacted crypto reserve legislation. Arizona’s HB 2749 allows for the creation of a digital asset reserve from unclaimed property, while New Hampshire’s HB 302 enables the treasurer to invest up to 5% of public funds in significant market cap digital assets. Texas has established a Bitcoin-only reserve through Senate Bill 21.
Despite a flurry of over 50 reserve bills introduced nationwide, the path to approval has been fraught with challenges, often stalling in committee or being withdrawn due to legislative time constraints.
Federal Context and Future Outlook
HB 183 is also set against the backdrop of a federal initiative established by a March 2025 White House executive order that proposed a Strategic Bitcoin Reserve at the national level. Though Treasury Secretary Scott Bessent indicated that this reserve would consist solely of seized Bitcoin, the federal plan has nonetheless galvanized states to develop their own strategies for digital asset management.
In addition to HB 183, Barnaby has introduced another piece of legislation, HB 175, aimed at easing regulatory hurdles for stablecoin issuers in Florida. This bill aims to streamline operations by clarifying licensing requirements and establishing collateralization mandates, which align with the general trend towards responsible crypto regulation.
As HB 183 awaits committee assignments and hearings in the Florida House, it represents not just a legislative effort but a significant step towards integrating cryptocurrency into the fabric of state financial management. The outcome of this bill could set a precedent for other states considering similar measures, highlighting Florida’s potential leadership role in the evolving cryptocurrency landscape.
