Kentucky’s Governor Andy Beshear has enacted the “Bitcoin Rights” legislation, providing protections for cryptocurrency users, while similar Bitcoin reserve legislation is advancing in two other states.
A crypto advocacy organization stated in a March 24 announcement that House Bill 701 guarantees the “right to self-custody, operate a node, and utilize digital assets” without facing “discrimination.”
Originally presented to the Kentucky House by Representative Adam Bowling on February 19, HB701 aims to protect the rights associated with digital asset usage and self-custody wallets, while also prohibiting local zoning changes that could negatively impact crypto mining.
The bill outlines regulations for operating a crypto node, exempts crypto mining from money transmitter licensing, and clarifies that mining and staking should not be classified as the sale of securities.
The Kentucky House of Representatives approved the bill on February 28 with unanimous support from all 91 members, followed by a similar unanimous vote in the state Senate on March 13. Governor Beshear signed it into law on March 24.
This legislation is akin to a similar bill that was enacted by the Governor of Oklahoma in May 2024.
In addition, Kentucky has proposed a bill to create a Bitcoin reserve, permitting the State Investment Commission to allocate up to 10% of excess state reserves to digital assets, including Bitcoin; this proposal is currently under review.
### Other Bitcoin Reserve Bills Progress
Meanwhile, Oklahoma’s House Bill 1203, known as the Strategic Bitcoin Reserve Act, received approval from the State House of Representatives with a vote of 77 to 15, according to reports from a local crypto advocacy association.
This bill was introduced by state Representative Cody Maynard on January 15 and secured passage in the Government Oversight Committee with a vote of 12-2 on February 25.
The legislation now needs to pass through the Senate before it can be signed into law or vetoed by the governor. Additionally, Oklahoma state Senator Dusty Deevers has introduced legislation allowing residents to receive their salaries in Bitcoin.
According to a March 24 update from a Bitcoin legislation tracking group, Oklahoma is now tied for second with Texas in the race to establish state Bitcoin reserves.
Arizona continues to lead, having seen two strategic digital asset reserve bills advance from Arizona’s House Rules Committee on March 24 to the House floor for a complete vote.
Analysts speculate that the Republican majority in the Oklahoma Senate and a Republican governor could facilitate the bill’s passage into law. Meanwhile, Missouri’s Special Committee on Intergovernmental Affairs is reviewing the state’s Bitcoin reserve proposal.