Colorado Bitcoin Reserves and Cryptocurrency Laws

Colorado Bitcoin Reserves and Cryptocurrency Legislation

Colorado Bitcoin Reserve Overview

No Official Reserves
Friendly Regulatory Status
Cryptocurrency Accepted for State Taxes

Colorado Bitcoin Reserves

Colorado Legislative Breakdown

State BTC Reserves % of Global Holdings Legal Status Last Updated Key Laws and Regulations
Colorado (CO) No Official Reserves 0% Friendly 2025-05-24
  • Colorado Digital Token Act (2019): Exempts certain digital tokens from securities laws if used for consumptive purposes, fostering blockchain innovation
  • 2022 Tax Payment Regulation: Allows cryptocurrency payments for state taxes via PayPal, effective September 2022
  • HB 19-1283 (2019): Requires disclosures for virtual currency investments to protect consumers
  • No state income tax on crypto gains; federal capital gains tax (15–20%) applies
  • ~580,000 residents (~10% of population) use crypto; $7B in transactions (2023–2024, est.)
  • Support for blockchain startups through regulatory sandboxes
  • Over 50 Bitcoin ATMs, primarily in Denver and Colorado Springs (2024)
  • No specific legislation for state-held Bitcoin reserves as of 2025

Colorado Bitcoin Reserve Status

Current status: NO OFFICIAL RESERVES

Colorado has not established a state Bitcoin reserve but is a leader in cryptocurrency adoption, being the first U.S. state to accept cryptocurrency for state tax payments. The Colorado Digital Token Act and regulatory sandboxes support blockchain innovation.

No funds have been allocated for Bitcoin reserves. Colorado focuses on integrating cryptocurrency into state services and fostering blockchain technology rather than holding digital assets.

9/1/2022
IMPLEMENTED
Colorado became the first U.S. state to accept cryptocurrency for state tax payments via PayPal, supporting Bitcoin and other digital assets.
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3/7/2019
SIGNED INTO LAW
Colorado Digital Token Act (SB 19-025) signed, exempting certain digital tokens from securities laws to encourage blockchain development.
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3/7/2019
SIGNED INTO LAW
HB 19-1283 signed, requiring disclosures for virtual currency investments to enhance consumer protection.
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