North Carolina’s Big Idea: Investing in Cryptocurrency
North Carolina’s lawmakers have a new, exciting idea! They’re thinking about putting some of the state’s money into something called cryptocurrency. This is a big change from how they usually manage the state’s pension plan. Many people, like the House Speaker Destin Hall and even the Governor Josh Stein, think this is a good idea.
Why Cryptocurrency?
North Carolina wants to do this because they want to get better returns on their investments and make their pension fund more stable. They’ve been having some trouble meeting their financial goals, so they’re looking for new, creative solutions. Cryptocurrencies, like Bitcoin, have shown that they can grow a lot, even though they can also be very unpredictable.
The Plan
The new law they’re thinking about would let the state treasurer put up to 10% of the state’s money into digital assets, but only through something called exchange-traded funds (ETFs). This way, they won’t put all their money into just one cryptocurrency, like Bitcoin. They can spread it out among many different ones. The treasurer won’t have to do this, though. They can choose if they want to or not.
What People Think
Some people think this is a great idea. They say it could make North Carolina a leader in technology and maybe even help the state’s pension fund make more money. But other people are worried. They think cryptocurrency is too unpredictable and could be too risky.
Other states are also thinking about this. More than 20 states have introduced similar bills. Even some people in the federal government are talking about creating a national cryptocurrency reserve.
A Big Step into the Future
If North Carolina goes ahead with this plan, it will be a big step into the unknown world of cryptocurrency investments. We’ll have to wait and see what happens in the Senate. But no matter what, everyone will be watching to see if this new way of investing works.
Sources: WUNC, Congress.gov, YouTube, Happy Scribe, WNCN
