Municipal Bitcoin Allocations Spark Legislative Ripples

A recent trend in municipal finance has sparked legislative ripples and concerns over taxpayer-backed funds. In Jersey City, Mayor Steven Fulop announced that the city's pension fund will allocate assets to Bitcoin ETFs.

This move follows a similar allocation by the Wisconsin Pension Fund, which invested $98.6 million in BlackRock's iShares Bitcoin Trust and $64 million in Grayscale Bitcoin Trust, representing 2% of its total fund.

Legislative pressure is mounting as lawmakers debate how to manage digital reserve assets through the American Reserve Modernization Act of 2026.