Kentucky Governor Signs ‘Bitcoin Rights’ Bill, Strengthening Crypto Protections
Kentucky Governor Andy Beshear has signed House Bill 701, known as the “Bitcoin Rights” bill, into law, making Kentucky one of the latest states to protect digital asset users and operations.
According to the Satoshi Action Fund, a crypto advocacy group, the bill secures key rights for individuals using digital assets, including the right to self-custody, operate blockchain nodes, and transact with digital currencies without discrimination. It also prevents local governments from introducing zoning rules targeting crypto mining operations.
HB701: Strengthening Crypto Rights in Kentucky
Introduced by Representative Adam Bowling on February 19, HB701 ensures that personal digital wallets are protected, while shielding mining and staking activities from being classified as securities offerings.
Key provisions:
- Exempts crypto mining from money transmitter licensing requirements.
- Defines guidelines for running blockchain nodes.
- Ensures staking and mining rewards are not treated as securities.
The bill passed unanimously in both chambers, with a 91-0 House vote on February 28 and a 37-0 Senate vote on March 13. Governor Beshear signed it into law on March 24.
Satoshi Action Fund's Announcement
To highlight the bill's impact, the Satoshi Action Fund shared the following tweet:
We are proud to officially announce that ‘Bitcoin Rights’ has been SIGNED INTO LAW by the Governor of Kentucky!
— Satoshi Action Fund (@SatoshiActFund) March 24, 2025
The right to self-custody, run a node, and use of digital assets is now protected for millions of Americans without fear of discrimination.
This effort would not… pic.twitter.com/ETH2I4CWw6
We are proud to officially announce that ‘Bitcoin Rights’ has been SIGNED INTO LAW by the Governor of Kentucky!
— Satoshi Action Fund (@SatoshiActFund) March 24, 2025
The right to self-custody, run a node, and use of digital assets is now protected for millions of Americans without fear of discrimination.
This effort would not… pic.twitter.com/ETH2I4CWw6
Kentucky Eyes Bitcoin Investments
Beyond self-custody protections, Kentucky lawmakers are reviewing House Bill 376, which proposes allocating up to 10% of excess state reserves into Bitcoin and other digital assets. The bill requires any cryptocurrency in the state’s portfolio to have a market cap of at least $750 billion.
Other States Follow Suit
Kentucky joins a growing state-level push for crypto-friendly policies:
- Oklahoma: The Strategic Bitcoin Reserve Act (HB 1203) passed the House 77-15 and awaits a Senate decision. A separate bill proposes allowing salaries in Bitcoin.
- Arizona: Lawmakers advanced Senate Bill 1373, which establishes a digital assets reserve from confiscated cryptocurrencies, and Senate Bill 1025, which allows the state treasury and retirement system to invest 10% of available funds into Bitcoin.
- Missouri: A legislative committee is reviewing a state Bitcoin reserve proposal.
