Connecticut lawmakers unanimously approved a bill that prohibits state and local governments from accepting cryptocurrency payments or holding crypto assets. The legislation, House Bill 7082, was signed into law on Tuesday after receiving bipartisan support.
The bill, titled “An Act Concerning Various Revisions to the Money Transmission Statutes, State Payments and Investments in Virtual Currency,” forbids the state and its political subdivisions from accepting cryptocurrency payments or purchasing crypto assets. It also bars the creation of a crypto asset reserve by the state, making Connecticut one of the few US states to explicitly reject crypto reserve funds.
Introduced by the joint committee on banking in February 2025, the bill was cosponsored primarily by Democrats including State Representative Ken Gucker and Senators Patricia Miller and Matthew Lesser. The bill originally passed the House in May with 105 votes in favor and 42 against, and later achieved final passage with 148 votes to none and three abstentions.
Some analysts attribute the unanimous vote to the Democratic majority in Connecticut and the party’s broader criticism of cryptocurrency, particularly related to former President Donald Trump’s ties to memecoins. At the federal level, the Modern Emoluments and Malfeasance Enforcement (MEME) Act aims to prevent officials from profiting from such digital assets.
Critics argue the ban stems from concerns about cryptocurrency’s volatility and regulatory challenges but could hinder innovation. Aaron Brogan, founder of Brogan Law, described the ban as largely symbolic and noted it highlights political polarization around crypto rather than practical impact. He also pointed out pending signing by the governor and additional private sector disclosure rules targeting money transmitters, which may carry financial costs.
Connecticut joins several states rejecting Bitcoin reserve proposals. While 31 states have considered strategic Bitcoin reserve bills since the Trump administration, states like Montana, Wyoming, North Dakota, South Dakota, and Pennsylvania have recently blocked such initiatives. Other states including Utah, Oklahoma, Florida, and Arizona have also abandoned or vetoed related crypto bills in recent months.