Michigan House receives four new pro-crypto bills to clarify Bitcoin holding, mining, taxation

On May 21, 2025, the Michigan House introduced four new crypto-related bills aimed at clarifying and promoting the use of Bitcoin and other digital assets in the American state. The bills were introduced in the Michigan House late Wednesday, joining a growing trend of state-level efforts to define the role of digital assets in public policy and economic frameworks. Michigan House to consider four new crypto-related bills One of them is Rep. Bill Schuette’s (R-MI) House Bill 4510, which seeks to allow Michigan’s state treasurer to invest retirement funds in crypto, as long as they averaged a market cap of at least $250 billion over the previous year and are held via exchange-traded products. The Michigan House introduced four new bills to clarify and promote Bitcoin in the state. Source: Bitcoin Laws The $250 billion threshold effectively limits the eligibility to Bitcoin, which has set a new all-time high amid renewed institutional interest. Assets will have to be held through exchange-traded products issued by registered investment firms, ensuring regulatory oversight, according to HB 4510. The next bill, House Bill 4511, was introduced by Rep. Bryan Posthumus (R-MI), and focuses on the federal government’s push for central bank digital currencies. The bill proposes a state-level ban on any licensing, taxation, or restriction of digital asset holdings and prohibits state agencies from advocating for a U.S. CBDC. The other two bills were both introduced by Rep. Mike McFall (D-MI) as companion bills, HB 4512 and HB 4513, focused on Bitcoin mining and tax reform. One seeks the establishment of a “Bitcoin Program” that will allow private firms to plug abandoned oil or gas wells in exchange for temporary rights to mine Bitcoin using residual fuel sources. The other offer links crypto directly to remediation efforts as it affects income and corporate tax deductions for revenue earned through such mining efforts. If approved, the program would be administered by the state’s Supervisor of Wells, who would maintain a public registry of eligible well sites, solicit annual bids, and ensure that participating miners carry financial responsibility for site restoration. Michigan’s legislative push occurs as several U.S. states race to either welcome or restrict crypto adoption. American states are warming up to cryptocurrency ideals The four new bills are proof that Michigan is on the pro-crypto side, making similar legislative efforts as states like New Hampshire, Arizona, and Kentucky, where laws have been passed or proposed to legalize Bitcoin reserves, protect self-custody rights, or incentivize crypto mining. For example, New Hampshire became the first state to approve a Bitcoin reserve in 2025. Kentucky’s 2025 Blockchain Digital Asset Act legalized crypto mining with incentives. Also, some hours earlier, the Texas House passed a bill to create a state-managed Bitcoin reserve and sent it to Governor Greg Abbott’s desk. According to reports, the bill would allow the state comptroller to invest in any digital asset with a market cap above $500 billion, a criterion that only Bitcoin matches at the moment. New Hampshire Governor Kelly Ayotte also signed a similar bill into law earlier this month, confirming her state as the first in the country to formally authorize crypto and precious metal investments for public funds. The new Michigan bills are a step in the right direction, but even though they’ve been introduced, these bills have a long way to go before they become law. They have to pass through committee reviews, House votes, Senate approval, and the governor’s signature. Unfortunately, it is not uncommon for bills to be rejected. States, like Florida and Pennsylvania, have seen similar crypto-oriented bills fail to garner enough support. Cryptopolitan Academy: Tired of market swings? Learn how DeFi can help you build steady passive income. Register Now

Source: Cryptopolitan