Connecticut Governor Ned Lamont Signs Bill Prohibiting Bitcoin and Digital Asset Investments

On July 1st, Connecticut Governor Ned Lamont enacted the state’s Bit Reserve Prohibition legislation, marking a significant regulatory development in digital asset governance. This new law explicitly restricts Connecticut from accepting, holding, or investing in any form of cryptocurrency or digital assets. The move reflects a cautious approach towards integrating blockchain-based financial instruments within state-managed portfolios, emphasizing risk mitigation and regulatory compliance. Market participants and institutional investors should note this legislative shift as it may influence broader state-level policies on digital asset adoption and management. The bill underscores the ongoing debate surrounding the role of cryptocurrencies in public finance and highlights the importance of robust legal frameworks in the evolving crypto ecosystem.