Michigan State Rep. Matt Maddock has launched laws that may enable categorized state civil service staff to obtain their wages in Bitcoin or different qualifying digital belongings, marking what supporters describe as a first-of-its-kind effort to combine Bitcoin into state payroll programs.
The proposal would amend Michigan’s Cost of Wages and Fringe Advantages Act (1978 PA 390) by including a brand new part allowing salaried state staff, starting Jan. 1, 2027, to select from three strategies of compensation: U.S. foreign money paid in particular person on the Division of Treasury in Lansing, direct deposit or digital switch to a monetary establishment, or cost in a digital foreign money of the worker’s selection.
Below the invoice that was shared with Bitcoin Journal, the state could be required to supply no less than six digital foreign money choices, with Bitcoin mandated as one in every of them.
The laws additionally prohibits the state from providing any state-owned or state-controlled digital foreign money by which issuance or provide is managed by a nationwide authorities or central financial institution — a provision that successfully bars the usage of central financial institution digital currencies (CBDCs).
Maddock, a Republican from Milford and present vice chair of the Home Appropriations Committee, stated the measure is aimed toward increasing monetary selection for public employees and positioning Michigan as a pacesetter in digital asset adoption.
Professional-bitcoin laws popping out of Michigan
The invoice was developed in partnership with the Michigan Bitcoin Commerce Council, a statewide advocacy organization centered on Bitcoin schooling and coverage.
If enacted, Michigan would turn into one of many first states to formally authorize bitcoin as a wage cost choice for presidency staff.
Whereas a number of private-sector employers throughout the U.S. have experimented with paying employees in digital belongings, state-level payroll integration stays uncommon.
The wage proposal is a part of a broader bundle of pro-Bitcoin laws advancing in Lansing. Companion measures embrace HB 4511, which might set up a digital asset invoice of rights prohibiting state and native governments from banning Bitcoin possession or use; HB 4510, making a framework for potential pension fund funding in large-cap digital belongings; and HB 4512 and HB 4513, which search to incentivize Bitcoin mining operations powered by deserted oil and pure fuel wells.
The wage invoice requires the state to honor an worker’s chosen cost technique and units parameters for digital asset choices however doesn’t element the operational mechanics of conversion, custody or volatility administration.
These implementation questions would possible fall to the Division of Treasury and different administrative businesses if the measure turns into legislation.
Maddock stated he’s working to safe bipartisan co-sponsors forward of the invoice’s formal numbering and committee referral.
Final week, Missouri Home Invoice 2080, launched by Consultant Ben Keathley, was referred to the Home Commerce Committee, proposing the creation of a state-managed Bitcoin Strategic Reserve Fund that may enable the treasurer to accumulate, custody, and maintain bitcoin in chilly storage for no less than 5 years below outlined statutory pointers.
In Could 2025, New Hampshire empowered the state treasurer to allocate as much as 10% of state funds into digital belongings or valuable metals with a market capitalization exceeding $500 billion.
Since then, different states — together with Arizona and Texas — have adopted swimsuit, advancing or establishing comparable bitcoin reserve frameworks.
