More U.S. States Eyeing Crypto as an Investment — Market Talk

U.S. states and their pension plans are increasingly considering cryptocurrency as areserve investment, S&P Global Ratings says. The recent creation of crypto exchange-traded funds and the evolving regulatory landscape may have increased interest in crypto by helping address associated risks, according to S&P. The agency also says 17 U.S. states either allow or have introduced legislation to allow crypto as a reserve asset, with 16 proceeding toward including crypto in statewide pension trusts. "Although crypto is still a very small allocation in U.S. state reserve andpension holdings, many states are in various stages of implementing policychanges to allow the use of bitcoin or other cryptocurrencies in their generalfund and/or pension trust assets," said S&P Global Ratings credit analyst Todd Kanaster. Earlier this month, President Trump said he would move forward on creating a U.S. crypto strategic reserve. ([email protected])