Connecticut Slams Bitcoin—Crypto Firms Now Face Ironclad Disclosure Rules

Connecticut just dropped the regulatory hammer. The state’s new mandate forces crypto firms to operate under a microscope—full transparency or get out. No more shadows, no more 'trust us, bro' balance sheets.

The fine print bites

Every exchange, wallet provider, and DeFi project must now disclose holdings, risks, and ownership structures like a publicly traded bank. Miss a line item? Enjoy your six-figure fine.

Bitcoin? Not welcome here

The legislation explicitly excludes Bitcoin from certain protections—effectively treating it like a speculative toy rather than sound money. Because apparently, Connecticut prefers its finance innovation served with 20th-century paperwork.

Wall Street’s compliance officers are already salivating. Meanwhile, crypto natives whisper: 'Another state chasing away the future to protect the past.'

Other US states embrace Bitcoin reserves

While Connecticut enacts restrictions, other states are heading in the opposite direction.

Texas governor recently signed Senate Bill 21 into law, allowing the state to create and fund a Bitcoin reserve using public money.

This puts Texas alongside Arizona and New Hampshire, which have also introduced similar measures to add digital assets to their state treasuries.

The contrasting approaches between these states highlight a growing divide in how they view the role of digital assets in public finance. Some see bitcoin as a hedge and diversification tool, while others view it as too unstable for taxpayer-backed investments.

Nevertheless, the push for state-managed crypto reserves is gaining momentum across the US. According to Bitcoin Laws data, 48 bills related to Bitcoin reserves are currently under consideration in various states, with eight states already approving the initiative.