Connecticut Bans Cryptocurrency in Government Operations
Connecticut Governor Ned Lamont has signed House Bill 7082 into law, prohibiting the use of cryptocurrency in state government operations. The legislation, which takes effect on October 1, bars the state from accepting payments in digital assets or establishing a cryptocurrency reserve. This decision places Connecticut at odds with states like Texas and New Hampshire, which have embraced Bitcoin reserves, underscoring the national debate over digital asset regulation.
Key Provisions of the Legislation
- Prohibits the state government from accepting or requiring payment in virtual currency
- Bans the purchase, holding, or investment in cryptocurrency reserves
- Introduces new requirements for cryptocurrency money transmission licensees in Connecticut
National Context and Expert Insights
The law reflects a growing divide in how U.S. states approach digital assets. Aaron Brogan, founder of Brogan Law, describes the legislation as “symbolic opposition” to cryptocurrency, suggesting it has little practical impact. Meanwhile, other states are exploring ways to integrate blockchain technology into their financial systems.
Implications for the Future of Digital Assets
Connecticut’s move could influence other states considering similar regulations. Observers will be watching to see how this affects the broader adoption of blockchain technology and digital currencies in government operations.
