New Hampshire is waiting for a Bitcoin Bond Buyer to get the state’s first effort rolling
New Hampshire moved this week to protect the state’s first effort toward establishing a $100 million bitcoin bond, which will be directed by a state entity but backed by a private sector arm, according to those involved in the effort.
The New Hampshire Business Finance Authority authorized a “$100,000,000 bond for a project to acquire and hold digital currency,” according to the description on its agenda. The NHBFA does not direct state-backed bonds, but encourages private sector entities to manage them. If that happens with this bond, the New Hampshire Executive Council will review the deal and vote to approve it.
Once approved, the project will go live – the first of its kind in the country.
The NHBFA is a self-funded, state-created fund created to safeguard New Hampshire’s economic development. Proceeds from its bond projects go back into the entity to help run it.
State representative Keith Ammon, a longtime advocate for crypto policy in New Hampshire, said this first Bitcoin Bond effort is meant to be a template for more to come.
“Bitcoin can partially insulate our state’s runaway inflation,” he said in an interview with Coindesk. “It’s like training wheels to get to that point, protecting our state’s finances from future dollar debasement.”
He said that the two-year bond is expected in a rising value for Bitcoin.
Over the past year, BTC is down about 6%, after climbing steadily for months before a sharp decline starting this past month.
New Hampshire is at the forefront of state governments pursuing crypto policies. The New England state is the First to establish a crypto reserve Earlier this year, it moved faster than the federal government, which is still in the planning stages.
