While Washington dangles the promise of a federal strategic reserve, South Dakota is tired of waiting.
Rep. Logan Manhart (R) has officially done it revived a legislative push that could fundamentally change the balance of the state.
On January 27, Manhart introduced House Bill 1155, an ambitious measure that would allow the State Investment Council to allocate up to 10% of state revenues directly to Bitcoin.
South Dakota’s second Bitcoin Reserve attempt
This move is more than just a second attempt at a stalled 2025 proposal.
If HB 1155 passes, South Dakota wouldn’t just get its hands on Bitcoin [BTC] but also require strict security rules, with private keys stored in multiple, geographically separated 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, the reintroduction of HB 1155 shows that South Dakota’s view on digital assets is evolving.
Other States and Their Bitcoin Reserve Plans
South Dakota isn’t the only state tired of waiting 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 major 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 relies primarily 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 the time of writing CoinMarketCapwith Bitcoin crypto sentiment bullish at 81%.
Meanwhile, Bitcoin Dominance also stood at 59.55% Trading viewreflecting continued investor preference for the asset.
All this 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
- Instead of chasing the prize, South Dakota is legislating for long-term exposure infrastructure.
- HB 1155 reflects a broader trend of states testing Bitcoin before federal execution becomes a reality.