Key takeaways
– Indiana lawmakers introduced HB1042 to allow crypto exposure in state pension plans.
– The bill would require many public retirement and savings plans to offer crypto ETFs and let others invest voluntarily.
Indiana lawmakers have introduced HB1042, a bill that would open public pension and savings plans to cryptocurrency exposure by permitting — and in some cases requiring — the offering of crypto exchange-traded funds (ETFs) to participants. The measure would make crypto ETF options available across numerous Indiana public investment plans and allow additional plans to opt in.
The bill also calls for the creation of a Blockchain and Digital Assets Task Force to study government and consumer applications of distributed ledger technology and digital assets, and to recommend pilot projects for state use.
HB1042 includes protections aimed at keeping state and local agencies from restricting lawful digital-asset activity: it would bar government entities from prohibiting legal use of digital assets, mining, or self-custody, and it would treat private keys as privileged information. Supporters frame the bill as a way to foster crypto innovation while maintaining investment prudence and regulatory standards for public funds.
The push in Indiana mirrors a broader movement among states to explore digital assets in public investment programs as Bitcoin and other cryptocurrencies gain institutional recognition. At the federal level, proposals such as the BITCOIN Act have suggested alternative roles for Bitcoin in government finances, but U.S. Treasury officials have said there are currently no plans for federal Bitcoin acquisition — leaving room for states to pursue their own strategies for pension fund allocations into crypto.
