Bitcoin ETFs in Focus as Kansas Senator Proposes Allocation to Retirement Funds of up to 10%
Republican Kansas State Senator Craig Bowser introduced A invoice It aims to allocate up to 10% of public employee retirement funds to Bitcoin (BTC) Trading Fund (ETF) products.
Kansas Senator Proposes Bitcoin Exposure for Retirement Funds
The bill, titled Senate Bill 34, seeks to authorize the Kansas Public Employees Retirement System (KPERS) to invest up to 10% of its public employee retirement funds in Bitcoin ETFs. If passed, the legislation would establish a KPERS Board of Trustees charged with overseeing investments in BTC ETFs.
Notably, the bill specifies that the KPERS Board of Trustees may allocate funds to Bitcoin ETF products issued exclusively by Kansas-based investment firms. It also stipulates that if the value of BTC ETFs exceeds 10% of a pension fund’s portfolio, the board is not required to sell unless it is in the best interest of the fund’s beneficiaries.
In addition, the legislation requires the KPERS Board of Trustees to conduct an annual review of the investment program. The results of this review must then be submitted to the Governor for oversight and evaluation.
Although the bill represents an important step towards mainstream acceptance of Bitcoin as a store of value, it must undergo a rigorous legislative process before becoming law. Senate Bill 34 The Financial Institutions and Insurance Committee was referred on January 17 and must clear four rounds of approval before being sent to the Kansas House of Representatives.
In the House, the bill would go through a similar legislative process before reaching the governor’s desk for final approval or veto. If moderated, the legislation would head back to the state legislature, where it would need a two-thirds majority in both chambers to override the veto and become law.
Senator Bowser’s proposal highlights a major shift in Kansas’ approach to cryptocurrencies. In 2023, the state House of Representatives introduced a bill limiting political crypto donations to $100 and mandating the immediate conversion of such donations into US dollars, prohibiting holding or spending cryptocurrency.
BTC fever takes over the US
Since Donald Trump’s victory in the US presidential election in November, many states have begun exploring Bitcoin as part of their economic strategies. Earlier this month, the North Dakota Legislative Assembly Suggested Invest in BTC to fight inflation.
Likewise, Oklahoma Senator Dusty Devers recently foot The Bitcoin Freedom Act, which aims to give residents the option of receiving salaries in BTC. Even traditionally democratic states like Massachusetts Looking Create a strategic Bitcoin reserve.
Despite this growing enthusiasm for Bitcoin, the US Federal Reserve remains skeptical of the idea, to reject These are “the stupidest ideas ever.” At press time, BTC is trading at $105,486, up 0.7% over the past 24 hours.
Featured image from unsplash.com, Chart from TradingView.com
