Indiana lawmakers are considering a bill to allow state funds to invest in Bitcoin.
House Bill 1322 moved forward to the full House for debate.
Rep. Jake Teshka, R-South Bend, authored the bill, which would allow public employee and teacher retirement funds to invest in certain Bitcoin exchange-traded funds.
“Really, what we’re asking is just for folks to come and tell us how blockchain technology could benefit state government and state government processes,” Teshka explained. “At this point, there is no mandate in here for any agency to participate.”
The bill also calls for a study on how blockchain technology could improve state operations. Supporters said it could lower costs, improve security and create efficiencies. Lawmakers backing the bill argued Bitcoin offers long-term potential despite market fluctuations. Opponents have raised concerns about financial risks, saying Bitcoin is unpredictable.
Teshka noted Bitcoin has outperformed traditional assets over time. He admitted it is volatile but called it a strong investment option.
Rep. Chris Campbell, D-Lafayette, called it a major risk for retirees. She questioned how lawmakers could ensure it was a safe investment for state funds.
“When I asked online about cryptocurrency investments, it seemed like they were really discouraged,” Campbell observed. “Crypto is volatile and carries substantial risk. There’s a lot of scamming associated with it.”
Teshka said the state would carefully study the risks before making any decisions. He called Bitcoin the future of finance but stressed Indiana would proceed cautiously. The bill awaits debate in the House.
