Overview of House Bill 1155
Representative Manhart has filed House Bill 1155, which would permit South Dakota to allocate up to 10% of its investment portfolio to Bitcoin, either held directly or via an exchange‑traded product.
Current State Investment Performance
The South Dakota Investment Council manages $20.56 billion in assets, delivering a 5.5% return last year—well below its 12.5% benchmark. More than half of the portfolio is in public equities, with smaller allocations to real estate and debt.
National Landscape of Crypto Reserve Bills
Inspired by former President Donald Trump’s crypto endorsement, pro‑Trump lawmakers have introduced crypto reserve proposals in 28 states. Of the 42 bills filed, 33 have been killed—most at the first committee reading—leaving nine active proposals across six states.
Status of Bitcoin Reserve Legislation in Other States
- Arizona: Full strategic reserve blocked by the governor; only a reserve for seized assets enacted in May 2024.
- New Hampshire: Allows up to 5% of funds in digital assets with market caps >$500 billion (effectively Bitcoin only); no confirmed purchases yet, but a Bitcoin‑backed bond is planned.
- Texas: Permits up to 5% of state funds in Bitcoin; only $5 million purchased so far.
Political Influences and Future Outlook
Manhart first introduced a Bitcoin reserve bill in January 2023, tagging Trump and Elon Musk. The bill was read in February and sent to the House Commerce and Energy Committee, which voted 9–3 to defer consideration—a procedural move that effectively kills the bill in South Dakota’s 40‑day session. Recent pro‑crypto moves include Arizona’s Senate Bill 1044 (exempting virtual currency from property taxes) and a Kansas strategic reserve proposal.