1-7-2025 – Connecticut Governor Ned Lamont signed House Bill 7082 into law on Monday, officially banning the state from investing in Bitcoin and other digital assets through its pension funds and treasury operations.
The legislation makes Connecticut the first state to explicitly prohibit digital asset investments by government entities, moving counter to a growing trend across the U.S. where over two dozen states have introduced pro-Bitcoin legislation this year. The ban applies to all state investment vehicles, including the Connecticut Retirement Plans and Trust Funds, which manage approximately $50 billion in assets for state employees and retirees.
🚨 NEW: Connecticut Governor Ned Lamont officially signed into law the state’s ‘Bitcoin Reserve Ban’ today.
Connecticut is now prohibited from accepting, holding, or investing in digital assets. https://t.co/vIXIkprdHI
— Bitcoin Laws (@Bitcoin_Laws) July 1, 2025
The new law comes as states like Texas and New Hampshire lead efforts to establish Bitcoin strategic reserves, with 26 states introducing 47 Bitcoin-related bills in 2025. Connecticut’s decision reflects concerns about volatility and regulatory uncertainty surrounding digital assets, despite Bitcoin’s recent institutional adoption by major corporations and ETF approvals.
The legislation also includes enhanced consumer protection measures for Connecticut residents engaging with cryptocurrency platforms and requires additional disclosures from digital asset service providers operating in the state.
Connecticut’s move could influence other states currently debating similar measures, setting up a potential divide between crypto-friendly and crypto-restrictive state policies nationwide.
