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Kansas Bill Would Create State-Run Bitcoin and Digital Assets Reserve

It channels unclaimed custodial crypto into a reserve built from staking rewards.

Overview

  • Senator Craig Bowser introduced SB352 to establish a Bitcoin and Digital Assets Reserve Fund administered by the state treasurer, with the measure newly filed and not yet enacted.
  • Under the bill, custodial digital assets are presumed abandoned after three years only if outreach is returned undeliverable, then transferred in native form to the state or a qualified custodian while owners retain the right to reclaim the underlying asset at any time.
  • The proposal permits staking and receipt of airdrops under treasurer direction and routes rewards accrued after three additional years into the reserve; Bitcoin is barred from the general fund, while 10% of non-Bitcoin deposits would go there subject to legislative appropriations.
  • Sale procedures aim to limit market disruption by requiring exchange-traded assets to be sold at market prices and allowing other commercially reasonable methods for assets without active listings.
  • Coverage places SB352 within a wider state push to formalize crypto reserves, and industry voices highlight custody, governance, and transparency challenges; a separate report claims KPERS could invest up to 10% in Bitcoin ETFs, which is noted but not corroborated in the SB352 text.