Connecticut prohibits the use of bitcoin and cryptocurrencies between entities and public officials


By Angel di Matteo @Shadowargel

Governor Ned Lamont signed a law that veto the use, storage and exchange of cryptoactive in public institutions. The measure contrasts with the tendency of other states that adopt Bitcoin as a reserve.

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  • Public Law 25-66 prohibits the use of cryptocurrencies by the state government since October 2025.
  • This project was approved in mid -June by both legislative chambers.
  • Governor Lamont formalized the proposal and made it law. It will enter into force in the coming months.
  • Every company crypto in Connecticut must have a license from the bank commissioner.

The state of Connecticut has announced a very conservative measure in relation to cryptocurrencies. Yesterday, Governor Ned Lamont signed the Public Law 25-66, also known as House Bill 7082, that prohibits the use of Bitcoin and other cryptoactives by public officials. The law also prevents the State from storing, exchanging or making transactions with these digital assets.

The legislation, which will enter into force on October 1, 2025, was approved without opposition both in the House of Representatives as in him Senate state, with votes of 148–0 and 36–0, respectively. Previously, before the signing of Governor Lamont, the proposal was approved by the legislative instances in the middle of this month.

The measure is produced in a national context marked by the growing prominence of cryptocurrencies, both in the financial sector and in political discourse. Several reports link the rapid approval of the law with the Democratic majority that dominates the Legislative Chambers of Connecticut, and with the growing controversy around the support of President Donald Trump to cryptocurrencies and digital finances.

This most restrictive position contrasts with that of other states that have chosen to incorporate Bitcoin as part of its long -term economic strategy. Texas, for example, has adopted a diametrically opposite position, when creating a state reserve BTC for USD $ 10 million.

Strict rules for crypto companies

In addition to the veto to institutional use, the law establishes new obligations for companies that operate with cryptocurrencies in the State. Any entity that trades with virtual currencies, handles digital wallets or administering exchange houses must obtain a license granted by the Banking Commissioner of the State.

These companies will also be obliged to issue clear warnings about the associated risks, deliver receipts for each transaction, and rigorously comply with the laws against money laundering. In cases where minors are allowed to operate, express authorization of their legal representatives will be required.

Those who support the new legislation affirm that their purpose is to protect citizens, especially young people, the volatility risks involved in cryptocurrencies. They also argue that it is a preventive measure to prevent state resources from being exposed to unnecessary losses.

However, defenders of innovation and supporters of the crypto sector have expressed concerns. Some point out that the law could suffocate the development of a creative and emerging sector, although others consider that this law could be revoked later, if there is an increasingly marked trend in other states for opening spaces to digital assets.

Opposite trends in other states

While Connecticut aligns with a more conservative vision, neighboring states such as New Hampshire and Arizona have adopted a favorable posture to the use of cryptocurrencies. These jurisdictions have approved laws that allow to create state reserves of Bitcoin and other digital assets, with the aim of adapting to new technologies and promoting financial freedom.

New Hampshire, in particular, has legislated in favor of using these assets as innovation tools. For its part, Texas has justified its investment in Bitcoin as a way of protecting against inflation and strengthening its long -term economy.

This difference puts on the table the lack of a national consensus on the role of cryptocurrencies in the public sector. While some states adopt integration measures, others such as Connecticut opt ​​for strict exclusion and control.

Although Connecticut’s law represents a clear sign of the current course of its state policy, many analysts wonder if this decision will be sustainable over time. As other government entities adapt to a more digital financial system, it could be expensive to stay out.

It remains to be seen if this regulation will remain firm or if, in a future turn, the State will opt for more pragmatic integration with the emerging digital economy.


Article written by a content editor. Edited by Angel Di Matteo / Diariobitcoin

Original image of Diariobitcoin, created with artificial intelligence, for free use, licensed under public domain

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