Kansas lawmakers are introducing a new bill that would create a strategic bitcoin and crypto reserve, according to a recent filing. The proposal reflects a growing trend among U.S. states to integrate cryptocurrencies into their financial strategies, highlighting the increasing acceptance and institutional interest in digital currencies.

“The fund shall consist of all airdrops, staking rewards, or interest earned as prescribed in K.S.A. 58-3952(f), and amendments thereto,” the SEC filing reads. “The rewards received from staking the digital asset may be in the form of digital assets. All expenditures from the bitcoin and digital assets reserve fund shall be in accordance with appropriations acts upon warrants of the director of accounts and reports issued pursuant to.”

Over the years, Kansas lawmakers have explored ways to integrate cryptocurrencies into state policy. Previous proposals focused on tax incentives for blockchain startups and small pilot programs for digital payments in state agencies. However, SB 352 is the most ambitious attempt yet: a state-level crypto reserve that could function similarly to a sovereign wealth fund, allowing Kansas to hold, manage, and potentially grow its crypto holdings for public benefit.

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Kansas is one of only a few US states looking to create a direct strategic crypto reserve. However, crypto is becoming widely accepted across the US on a state and federal level. Wyoming has already established a comprehensive blockchain-friendly legal framework, including crypto banks and a special-purpose depository charter. Additionally, Texas has actively encouraged crypto mining and even proposed accepting Bitcoin for state fees. Furthermore, Florida and Arizona have experimented with pilot programs for digital asset management in government operations.

The crypto market rose 0.97% over the last 24 hours, a modest rebound after a 7-day decline.