Minnesota senator shifts stance, pushes for Bitcoin Act

Once a skeptic, Miller has now become a firm advocate for digital assets, highlighting his transformation from doubt to belief in Bitcoin’s long-term potential and viability.

Miller introduced the Minnesota Bitcoin Act, a legislative proposal designed to harness the economic potential of cryptocurrency by allowing the Minnesota State Board of Investment to allocate state assets into Bitcoin and other digital currencies. 

This move would mirror the board’s existing investment strategies in traditional asset classes, ensuring that digital currencies are treated as part of a broader, diversified investment portfolio. 

By doing so, Minnesota aims to position itself at the cutting edge of financial innovation while fostering economic growth and financial inclusion.

"As I continue researching cryptocurrency and hearing from more constituents, I've moved from deep skepticism to fully understanding and believing in Bitcoin and other digital assets," Miller stated on March 18. 

His journey reflects a broader trend among policymakers who, after learning more about the decentralized and borderless nature of Bitcoin, are beginning to recognize its value not only as an investment but as a fundamental part of the evolving financial system.

The Minnesota Bitcoin Act also seeks to provide additional financial options for the state’s workforce and residents. Under the bill, Minnesota state employees would have the opportunity to invest in Bitcoin as part of their retirement portfolios, expanding their options beyond traditional financial instruments. 

Additionally, the bill proposes allowing residents to use Bitcoin to pay state taxes and fees, following in the footsteps of Colorado and Utah, which have already implemented similar measures. If passed, this could serve as a significant milestone in normalizing cryptocurrency as a mainstream financial tool and encouraging further adoption at the state level.

One of the bill’s most notable provisions is the exemption of investment gains from Bitcoin and other cryptocurrencies from state income taxes. 

This proposal aims to attract investors, businesses, and innovators to Minnesota, creating a more crypto-friendly economic environment. The tax exemption could also incentivize early adoption and long-term investment in Bitcoin, potentially driving greater interest and economic activity in the state’s digital asset market.

Minnesota’s legislative push is part of a broader movement among U.S. states exploring the possibility of Bitcoin reserves. Currently, 23 states have introduced similar legislation aimed at incorporating Bitcoin into state financial strategies. 

This growing trend is largely inspired by Senator Cynthia Lummis’ Strategic Bitcoin Reserve Act, which originally proposed that the U.S. government acquire 1 million BTC over five years. The increasing momentum behind such initiatives underscores a shifting perspective among lawmakers, who are beginning to view Bitcoin not just as a speculative asset, but as a potential strategic reserve currency.

Bitcoin’s consistent outperformance of traditional assets is further fueling this shift. Between 2011 and 2025, Bitcoin has demonstrated a remarkable compound annual growth rate (CAGR) of 102.36%, vastly outpacing the S&P 500’s 14.83%.