While Washington dangles the promise of a federal strategic reserve, South Dakota is tired of waiting.
Representative Logan Manhart (R) has officially revived a legislative push that could fundamentally alter the state’s balance sheet.
On the 27th of January, Manhart introduced House Bill 1155, an ambitious measure that would empower the State Investment Council to allocate up to 10% of state revenues directly into Bitcoin.
South Dakota’s second Bitcoin Reserve attempt
The move is more than just a second attempt at a stalled 2025 proposal.
If passed, HB 1155 would not just allow South Dakota to hold Bitcoin [BTC] but also require strict security rules, with private keys stored across multiple, geographically separate data centers under direct government control.
By limiting the allocation to 10%, the state is taking a cautious, step-by-step approach.
The goal is to gradually treat Bitcoin as a legitimate public asset, similar to what Texas and Arizona are already doing. Thus, reintroducing HB 1155 shows that South Dakota’s view of digital assets is evolving.
Other states and their Bitcoin Reserve plans
South Dakota isn’t the only state that’s tired of waiting around for Washington, as several other states are also moving in the same direction.
New Hampshire already allows up to 5% of certain state funds to be invested in digital assets, while Texas and Arizona have passed laws to include Bitcoin in state reserves.
Florida is also considering a similar bill aimed at using digital assets as an inflation hedge.
However, at the federal level, creating a Strategic Bitcoin Reserve is still a key goal for the current administration.
Patrick Witt, Director of the White House Crypto Council, has already acknowledged that legal complications have slowed progress.
As a result, the federal plan currently depends mainly on Bitcoin seized by the Department of Justice, rather than new purchases.
What’s more?
This came at a time when BTC was trading around $89,199 at press time as per CoinMarketCap, with the Bitcoin crypto sentiment standing bullish at 81%.
Meanwhile, Bitcoin Dominance also stood at 59.55% as per TradingView, reflecting continued investor preference for the asset.
All this put together showed that the market entered 2026 with a focus on fundamentals. And with this bill, South Dakota is choosing to act rather than wait.
Final Thoughts
- Rather than chasing price, South Dakota is legislating infrastructure for long-term exposure.
- HB 1155 reflects a broader trend of states testing Bitcoin before federal execution materializes.
