A Kansas senator is proposing a big change to how the state handles public employee retirement funds. He wants to let them invest in Bitcoin!
Bitcoin in Retirement Funds?
Senator Craig Bowser’s Senate Bill 34 would allow the Kansas Public Employees Retirement System (KPERS) to put up to 10% of its money into Bitcoin exchange-traded funds (ETFs).
This wouldn’t be a free-for-all, though. The bill creates a KPERS board to manage these investments. Importantly, it specifies that only ETFs from Kansas-based firms would be eligible. Also, if the Bitcoin investments go over 10% of the total portfolio, they don’t have to sell unless it’s in the best interest of the retirees. The board would also have to review the investments yearly and report to the governor.
A Long Road to Approval
Before this becomes reality, the bill has a long way to go. It’s currently in the Committee on Financial Institutions and Insurance and needs to pass several stages in both the Senate and the House of Representatives before reaching the governor’s desk. Even if the governor signs it, there’s still a chance it could be vetoed and require a supermajority vote to override.
Bitcoin’s Growing Appeal (and Skepticism)
This proposal shows a growing interest in Bitcoin among some US states. Other states, like North Dakota and Oklahoma, are also exploring ways to use Bitcoin, whether it’s to fight inflation or offer salary options in BTC. Even some traditionally Democratic states are looking into it.
However, not everyone’s on board. The Federal Reserve has reportedly called the idea “the dumbest idea ever.”
Currently, Bitcoin is trading at $105,486.
