Indiana Governor Signs Law Requiring Cryptocurrency Options in Retirement Plans Indiana Governor Mike Braun signed House Bill 1042 into law, mandating that state retirement and savings plans offer cryptocurrency as an investment option by July 2027. The law requires these plans to provide a self-directed brokerage account with access to digital assets, including Bitcoin and spot crypto ETFs. Although the governing boards of these plans retain authority to set guidelines on limits, fees, and rules for crypto investments, the legislation prohibits state and local governments from discriminating against cryptocurrency use. This includes banning discriminatory taxes or fees, blocking transactions, or hindering blockchain operations such as development or validation. The law also strengthens protections for private keys, stipulating that in civil or criminal proceedings, a court may only compel disclosure of cryptocurrency information if no other admissible evidence is sufficient to access a digital asset or electronic value. Governor Braun emphasized that the measure aims to modernize retirement investment options while maintaining safeguards through plan-level oversight. Indiana’s action aligns with a broader trend among U.S. States exploring digital assets for public funds. According to recent analysis, at least 21 states are currently investing in or evaluating bitcoin and other digital assets for public investment frameworks, a movement influenced by federal initiatives to establish a Bitcoin Strategic Reserve. Indiana joins states such as Wyoming, Wisconsin, Michigan, and Arizona in integrating crypto-linked products into public pension and savings plans. In a separate but related measure, Indiana legislators passed a bill banning cryptocurrency ATMs statewide following reports of rising fraud, including approximately $400,000 in related scams in Evansville during 2025. This reflects a dual approach of enabling regulated crypto investment in retirement accounts while restricting high-risk access points associated with fraud. The legislation does not mandate that individuals invest in cryptocurrency but ensures the option is available within qualifying retirement and savings plans. Implementation will occur over the next several years, with full compliance required by July 2027. Plan administrators will be responsible for establishing the self-directed brokerage accounts and defining the specific terms under which crypto investments can be made, subject to fiduciary duties and state oversight.
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