Indiana legislators have passed a law permitting public retirement and savings plans to invest in Bitcoin, cryptocurrencies, and crypto-related exchange-traded funds (ETFs). Governor Mike Braun is expected to sign bill HB 1042 within the next ten days, after which it will become effective. This move places Indiana among U.S. states considering the inclusion of digital assets in their public investment portfolios. Under the new law, Indiana’s public retirement boards, deferred compensation committees, and annuity savings programs must offer autonomous brokerage accounts with at least one cryptocurrency investment option by July 1, 2027. Participants will be able to track their account values and pay administrative fees related to digital assets through these accounts. The legislation defines cryptocurrency as a virtual currency not issued by any central authority, used for transactions, and secured through encryption technology to prevent fraud. This development follows a growing trend across several states allowing public funds to invest in digital assets, encouraged by former President Donald Trump’s directive to establish a U.S. Bitcoin Strategic Reserve promoting long-term crypto investments by states and public institutions. Concurrently, Indiana’s legislature has banned cryptocurrency ATMs due to rising fraud cases, including a loss of approximately $400,000 in Evansville in 2025. Violations of this ban may result in action by the state attorney general. Both the ban and the new investment law aim to enhance public trust and protection in the crypto space while providing new opportunities for investors and introducing regulations to mitigate potential risks.
Source: bitcoinmagazine
