Illinois lawmakers propose new bill to allow public funds to invest in Bitcoin treasury companies' stocks

ChainCatcher reported that Illinois State Senator Steve McClure has introduced bill SB3672—the "Local Government Digital Asset Investment Act"—which seeks to amend the state's Public Funds Investment Act to allow public institutions to allocate up to 5% of public funds into Bitcoin-related financial products.

According to the bill's definition, eligible "digital asset stocks" must be equities of publicly listed companies, and these companies must, as verified by their latest audited financial statements, hold at least 25% of their total assets in Bitcoin or other digital currencies. This threshold covers companies with Bitcoin accumulation as a core strategy, such as Strategy, Twenty One Capital, Metaplanet, and Semler Scientific. The bill also allows public funds to invest in Bitcoin ETFs and Bitcoin bonds, while imposing transparency requirements.