New Hampshire Approves City Bonds Secured by Bitcoin Worth 100 Million USD
Crypto News
New Hampshire has approved city bonds valued at 100 million USD secured by Bitcoin, creating what appears to be a first-of-its-kind structure at the state level in the U.S. The New Hampshire Business Finance Authority approved the taxable revenue bonds for WaveRose Depositor in meetings held on November 17 and 18.
Minutes from the meetings show that directors voted to approve the intent to issue the bonds unconditionally. This structure allows companies to borrow against Bitcoin secured beyond limits held by the private management firm BitGo, without state or taxpayer guarantees.
Asset manager Wave Digital Assets and bond expert Rosemawr Management designed the product using Bitcoin as collateral under existing regulations for municipal and corporate bonds. This legal framework aims to provide institutional investors access to blockchain-based collateral through familiar fixed-income structures.
Governor Kelly Ayotte praised the launch of the bonds as an innovative method to attract investment opportunities while positioning New Hampshire as a leader in digital finance. This arrangement brings capital to the state without risking state funds or taxpayer money, according to Ayotte's statement.
State Representative Keith Ammon described the bonds as proof of concept for using Bitcoin as collateral in public finance. This structure could lead to Bitcoin bonds being issued directly by the state treasury if the initial issuance is successful and demonstrates feasibility.
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