Missouri House Bill 2080, introduced in January by Representative Ben Keathley, has been referred to the House Commerce Committee, where it awaits a public hearing and a committee vote. The measure will create a “Bitcoin Strategic Reserve Fund” for the state.
It will authorize the treasury to receive, hold, and manage Bitcoin under the guidelines laid down by the law.
The proposal follows a failed 2025 effort by Keathley, whose previous bill stalled in committee and failed to reach a floor vote. This year’s edition comes with the establishment of a revised committee and a streamlined child custody framework.
Under HB 2080, the state treasurer would be allowed to accept gifts, grants, donations, bequests, or bitcoin schemes from Missouri residents and government agencies. The bill also authorizes the treasury to buy and hold bitcoin using federal funds, although the draft emphasizes voluntary contributions as the primary source of funds.
Bitcoin received from a depository must be placed in a cold storage facility and stored for a minimum of five years from the date it enters government storage. During that time, the goods cannot be sold, transferred, or exchanged.
After the five-year limit, the treasury may sell, transfer, appropriate, or convert the holdings into another cryptocurrency authorized under the bill.
The law defines bitcoin as a decentralized digital asset that operates on a peer-to-peer network without centralized control. It also includes “cold storage” as an offline method of obtaining private keys in a secure physical environment. By embedding the definitions in the law, the legislators seek to establish a legal basis for the maintenance and management of risks.
HB 2080 requires the treasury to develop official depository policies and authorize the use of a qualified, independent, United States-based third-party entity to assist in the protection and management of the depository. The bill mandates public reporting and oversight procedures designed to provide transparency into the fund’s holdings and operations.
A separate provision would allow Missouri state agencies, with approval from the Department of Finance, to accept cryptocurrency for taxes, fees, fines, and other state obligations. The cost of the work may be borne by the payer.
If the Commerce Committee advances the bill, it will go to the House for debate and a vote. Approval there would send it to the Senate for committee review, consideration, and final passage.
The measure will then go to Governor Mike Kehoe for his signature or veto. The bill has a proposed effective date of Aug. 28, 2026.
Missouri eliminates capital gains
Last year, Missouri House Bill 594 (HB594) cleared the Missouri House and was signed into law by Mike Kehoe. The measure has been implemented, eliminating Missouri’s capital gains tax by allowing residents to deduct 100% of state-reported capital gains from the state’s adjusted gross income – meaning Missourians owe no state tax when they sell or use bitcoin.
From 1 Jan. 2025, Missouri became the first state to completely eliminate state income taxes on individual capital gains. The 100% deduction applies to both short-term and long-term gains from assets such as stocks, real estate and cryptocurrency, although it does not extend to retirement account allocations.
