Pennsylvania

Pennsylvania Passes Bitcoin Rights Bill, Proposes Strategic Reserve

Published

2 days ago

November 21, 2024

Press Room

Pennsylvania Passes Bitcoin Rights Bill, Proposes Strategic Reserve

Pennsylvania State Capitol, the seat of government for the U.S. state of Pennsylvania, located in … [+] Harrisburg

getty

Pennsylvania is stepping into the digital future with bold legislation aimed at solidifying its role as a leader in the emerging digital asset economy. On October 23, 2024, the Pennsylvania House of Representatives passed House Bill 2481—dubbed the “Bitcoin Rights” bill by Dennis Porter, co-founder of the Satoshi Action Fund—with a decisive 176–26 bipartisan vote. This legislation positions Pennsylvania among states at the forefront of digital asset regulation and underscores its commitment to fostering innovation in the sector while addressing critical issues like economic empowerment and financial inclusion.

House Bill 2481 enshrines the rights of individuals and businesses to self-custody digital assets, operate blockchain nodes, and conduct transactions without interference from restrictive municipal ordinances. Sponsored by Rep. Mike Cabell (R-Luzerne) and supported by bipartisan vote, the bill reflects a growing recognition across party lines of blockchain technology’s transformative potential.

The vote also revealed divisions within the Democratic Party, with all 26 opposing votes coming from Democratic representatives. Nevertheless, prominent members of the Democratic party, including Majority Leader Joanna McClinton (D-Phila/Delaware) and Rep. Malcolm Kenyatta (D-Phila), backed the measure highlighting its potential to stimulate economic growth and expand opportunities for underserved communities. Their support signals a broader acknowledgment of blockchain’s role in empowering marginalized groups through equitable access to financial tools.

Building On Momentum: Strategic Bitcoin Reserve Act

Following the passage of HB 2481, Republican Representatives Mike Cabell and Aaron Kaufer introduced HB 2664 (the Strategic Bitcoin Reserve Act) on November 14, 2024. If enacted, this legislation would enable the state treasurer to allocate up to 10% of Pennsylvania’s General Fund, Rainy Day Fund, and State Investment Fund into bitcoin and crypto-based exchange-traded products (ETPs), as explained in the bill’s legislative memo. This could mean an investment of up to $970 million in bitcoin, leveraging its potential as both a hedge against inflation and a long-term growth asset, as reported by DeCrypt.

The Strategic Bitcoin Reserves Debate

The introduction of Pennsylvania’s Strategic Bitcoin Reserve Act aligns with a broader conversation about government-held cryptocurrency reserves, echoing national debates sparked by Wyoming Senator Cynthia Lummis and the Trump administration’s proposal for a U.S. strategic bitcoin reserve. The state-level initiative reflects Pennsylvania’s proactive stance, but it has also reignited concerns about the potential risks of investing public funds in bitcoin.

Proponents Highlight Benefits

Proponents argue that bitcoin’s decentralized nature and fixed supply make it a strong hedge against inflation and an asset comparable to gold. As Satoshi Action Fund CEO Dennis Porter noted in a recent CryptoSlate article, “Bitcoin aligns incentives. When incentives align, we all win.” Advocates highlight Bitcoin’s significant appreciation over time and its growing acceptance among financial institutions as a store of value.

Supporters believe the Strategic Bitcoin Reserve Act could enhance fiscal stability by diversifying the state’s investments. The proposal mirrors broader efforts in states like Wyoming, where Lummis has championed bitcoin’s inclusion in national reserves, describing it as a safeguard against dollar devaluation and economic volatility.

Critics Raise Concerns

Despite its potential benefits, the concept of holding bitcoin in government reserves faces substantial criticism. Skeptics, including financial analysts and environmental advocates, point to the cryptocurrency’s extreme price volatility as a major risk. Bitcoin’s historical price swings—both surging and plummeting within short periods—raise questions about the stability of using it to back state or national funds.

Additionally, critics highlight security vulnerabilities in holding digital assets. High-profile breaches of institutional-grade storage solutions have underscored the risks of cyberattacks, which could make bitcoin reserves a target for bad actors. Environmental concerns related to bitcoin mining’s energy consumption further fuel opposition to public investment in the asset.

These concerns underscore parallels between Pennsylvania’s debate and the national critique of the Trump administration’s rumored executive order to formalize a U.S. bitcoin reserve. Critics have questioned whether introducing bitcoin into government holdings would expose the economy to unnecessary risk and divert resources from more stable investments. The outcome of this legislation could set a precedent, not only for other states but also for shaping the broader discourse on digital assets in fiscal policy.

Bipartisan Innovation In Action

Pennsylvania’s recent actions stand out in a national landscape often marked by federal gridlock and partisan divides on crypto policy. The state’s forward-looking approach mirrors pioneering efforts in Wyoming, Texas, and Florida. The bipartisan support for HB 2481 and subsequent legislative proposals like the Strategic Bitcoin Reserve Act demonstrate the economic promise lawmakers on both sides of the aisle see in blockchain technology. By codifying the rights of digital asset holders and creating a framework for state-level investment in crypto, Pennsylvania is charting a path that other states can follow.

Why Pennsylvania’s Leadership Matters

Pennsylvania’s legislation arrives at a critical moment for the digital asset ecosystem. With the most pro-crypto presidency and Congress in U.S. history set to take office in 2025, states like Pennsylvania have a unique opportunity to shape national policy from the ground up. The Commonwealth’s decisive actions on HB 2481 and the proposed Strategic Bitcoin Reserve Act signal to businesses, investors, and policymakers that Pennsylvania is open for innovation.

HB 2481 is more than a regulatory milestone—it is a strategic move to attract fintech companies, blockchain developers, and digital asset investors. The Pennsylvania Chamber of Business and Industry has expressed strong support, emphasizing that the state’s clear stance on digital assets provides the regulatory certainty businesses need to innovate responsibly.

Beyond its economic implications, the legislation reflects an understanding of blockchain’s potential to drive financial inclusion. Decentralized financial tools can reduce barriers for underbanked communities, empowering individuals and small businesses with access to innovative financial services. Pennsylvania’s proactive approach ensures that these benefits are accessible to all, positioning the state as a model for equitable digital asset adoption.

A New Blueprint For State-Led Innovation

The impact of Pennsylvania’s leadership extends far beyond its borders. In the absence of comprehensive federal regulation, states have emerged as laboratories for blockchain policy, testing innovative approaches to digital asset management. From Wyoming’s recognition of decentralized autonomous organizations (DAOs) to Florida’s integration of digital assets into its regulatory framework, state-led initiatives are shaping the future of the U.S. digital economy.

Pennsylvania’s efforts build on this momentum, offering a clear roadmap for other states. By fostering a crypto-friendly environment, the Commonwealth is not only boosting its own economic competitiveness but also contributing to a broader movement that could influence federal policy. As blockchain technology continues to redefine global finance, states that embrace innovation now will be well-positioned to lead in the years to come.

Stepping Into The Digital Future

Pennsylvania’s recent legislative efforts demonstrate a pragmatic approach to navigating the complexities of blockchain technology and digital assets. The passage of HB 2481 and the introduction of the Strategic Bitcoin Reserve Act highlight the Commonwealth’s focus on creating a clear regulatory framework while fostering innovation and economic growth.

By addressing both opportunities and challenges in this rapidly evolving space, Pennsylvania offers a practical model for other states to consider. Its actions underscore the growing role of state governments in shaping the future of the digital economy and ensuring its benefits reach residents and businesses alike. As the legislative process continues, Pennsylvania’s leadership may serve as a valuable reference point for balancing innovation with inclusivity and economic resilience.

Source link

Click to comment

Pennsylvania

How Philadelphia took care of its own through history

Published

8 hours ago

November 23, 2024

Press Room

How Philadelphia took care of its own through history

The Orphan Society was formed by a committee of wealthy Philadelphia women, notably Sarah Ralston and Rebecca Gratz, who each took the role of social reformer very seriously.

Gratz, the daughter of a wealthy Jewish merchant, also formed the Female Association for the Relief of Women and Children in Reduced Circumstances, the Female Hebrew Benevolent Society, and the Hebrew Sunday School. Gratz College in Elkins Park is named after her.

“She never married,” Barnes said. “She did things like put her money and her time toward doing that kind of public service.”

Ralston, the daughter of onetime Philadelphia mayor Matthew Clarkson, also formed the Indigent Widows and Single Women’s Society, which ultimately became the Sarah Ralston Foundation supporting elder care in Philadelphia. The historic mansion she built to house indigent widows still stands on the campus of the University of Pennsylvania, which is now its chief occupant.

Women like Ralston and Gratz were part of the 19th-century Reform Movement that sought to undo some of the inhumane conditions brought about by the rapid industrialization of cities. Huge numbers of people from rural America and foreign countries came into urban cities for factory work, and many fell into poverty, alcoholism, and prostitution.

“These are not new problems, but on a much larger scale than they ever were,” Barnes said. “It was just kind of in the zeitgeist in the mid- and later-1800s to say, ‘We’ve got to address all these problems.”

The reform organizations could be highly selective and impose a heavy dose of 19th-century moralism. The Indigent Widows and Single Women’s Society, for example, only selected white women from upper-class backgrounds whose fortunes had turned, rejecting women who were in poor health, “fiery-tempered,” or in one case, simply “ordinary.”

Source link

Pennsylvania

How did Pennsylvania’s top-ranked football teams fare on Friday, Nov. 22?

Published

16 hours ago

November 23, 2024

Press Room

How did Pennsylvania’s top-ranked football teams fare on Friday, Nov. 22?

St. Joseph Prep’s Khyan Billups (24) runs past Parkland’s Blake Nassry (7) during the PIAA Class 6A football quarterfinals at Pennridge High School on Nov. 22, 2024. (Alan Sylvestre | lehighvalleylive.com)Alan Sylvestre | lehighvalleylive.com contributor

Source link

Pennsylvania

Pennsylvania Education Secretary Khalid Mumin is stepping down • Pennsylvania Capital-Star

Published

1 day ago

November 22, 2024

Press Room

Pennsylvania Education Secretary Khalid Mumin is stepping down • Pennsylvania Capital-Star

Pennsylvania Education Secretary Khalid Mumin will resign from his position in Gov. Josh Shapiro’s cabinet next month, the governor’s office announced Friday afternoon.

Mumin was confirmed in June 2023 about six months after Shapiro took office and has presided over some of the administration’s early successes such as increasing funding for K-12 public schools by $1.5 billion over the last two budgets and providing free breakfast for 1.7 million public school students.

Mumin will resign Dec. 6 and Executive Deputy Secretary of Education Angela Fitterer will take over as interim secretary. A statement from Shapiro’s office did not say why Mumin is stepping down.

Shapiro said in a statement that Mumin has dedicated his life and career to ensuring that Pennsylvania children have a quality education that sets them up for success.

“He has led the Pennsylvania Department of Education with passion and integrity. I am grateful for his service to Pennsylvania’s students and educators and wish him great success in his future endeavors,” Shapiro said.

Mumin said it has been the honor of a lifetime to serve as education secretary.

“I began my career as a teacher in a classroom, and those early experiences watching students get excited about learning inspired me to become a principal, a superintendent, and ultimately Secretary of Education, so I could continue to fight for those students to get more support and more opportunities,” Mumin said. “I’m so grateful to Governor Shapiro for this opportunity to lead the Pennsylvania Department of Education and help build a bright future for Pennsylvania’s students and educators.”

State Sen. David Argall (R-Schuylkill), chairman of the Legislature’s education committee, said he wished Mumin the best and added, “I look forward to working with Acting Secretary Fitterer and the governor’s nominee to improve our education system, from Pre-K to graduate school.”

State Rep. Jesse Topper (R-Bedford), the ranking Republican member of the House Education Committee, said that from his point of view in the legislature “there were some definite bumps” during Mumin’s tenure as he presided over transformational change in the department.

“It’s important to understand that running a bureaucracy of that size … is different than being a great superintendent in a school district, big or small,” Topper said. “I think there are times when those coming from the academic world find it a little jolting what they’re going to encounter in the realm of government. I think he found it challenging, as all of these roles are.”

Before Shapiro tapped Mumin for his cabinet, he served as superintendent of the Lower Merion school district in Montgomery County. Mumin, who began his career as a classroom teacher in the Franklin County community of Scotland in 1997, also has served as superintendent of the Reading public schools.

Dan Urevick-Ackelsberg, senior attorney at the Public Interest Law Center, said Mumin’s background gave him a useful perspective on Pennsylvania’s schools. Lower Merion is among the state’s wealthiest communities, while Reading is one of the least.

“He came to office with the experience of seeing everything that Pennsylvania public schools can offer and the kind of disparity that underfunding public schools creates,” Urevick-Acklesberg said, adding that an important part of Mumin’s legacy will be the first steps the commonwealth took toward bringing its public schools into constitutional compliance.

Mumin’s tenure coincided with the resolution of a decade of litigation over the state’s public education funding formula, which a group of school districts, parents and advocates argued put students in less wealthy areas at a disadvantage because of its reliance on property taxes.

A Commonwealth Court judge ordered Shapiro and the General Assembly in February 2023 to correct the inequities and a interbranch commission found the state needed to invest $5.4 billion in underfunded schools to bring them up to par with the state’s most successful school districts.

This year’s budget includes about $526 million toward that goal, but lawmakers were unable to reach a compromise that would guarantee future installments to close the gap.

Sen. Lindsey Williams (D-Allegheny), who is the ranking Democrat on the Senate Education Committee, said she was grateful for Mumin’s service and experience as an educator, which helped the administration and lawmakers achieve shared goals such as strengthening career and technical education programs, investing in student mental health, repairs for schools and providing free menstrual products for students.

The governor’s office also credited Mumin with bringing together higher education leaders together to rethink higher education in Pennsylvania, establishing a state Board of Higher Education to provide more support for public universities and make college education more affordable.

Topper said the Education Department’s communications with the General Assembly were often found lacking by some members. Topper pointed to the higher education reform initiative, which the Shapiro administration billed as “a blueprint for higher education,” that many Republicans criticized for lacking detail or a clear proposal for how it would be funded.

Williams noted that the next four years will bring profound challenges for public education, as President-elect Donald Trump appears poised to eliminate the U.S. Department of Education. This week he appointed professional wrestling executive Linda McMahon to head the agency.

“Given the President-elect’s nominee to head the federal Department of Education, any successor to Secretary Mumin must be prepared to defend Pennsylvania students’ constitutional right to a high-quality inclusive public education,” Williams said.

Fitterer, who will serve in Mumin’s place until Shapiro’s nominee is confirmed in the Senate, has a 25-year career in state government, serving in former Gov. Tom Wolf’s administration, as legislative director for the education department and in crafting public policy in the House and Senate.

(This article was updated about 4 p.m. on Friday, Nov. 22, 2024, to include additional comments.)

Source link