The proposed bill establishes a framework for the issuance of gold and silver specie, as well as a digital currency called "Michcoin," which is backed by these precious metals. It creates the Michigan bullion depository within the Department of Treasury, which will act as the custodian and administrator of the bullion and specie. The state treasurer is tasked with overseeing the issuance of both gold and silver specie and Michcoin, ensuring their use as legal tender and facilitating their transfer. The bill also allows the treasurer to contract with private vendors for the digital currency's establishment and the creation of a digital wallet. Additionally, a pooled depository account will be established to hold the gold and silver specie, which will back Michcoin, and the bill outlines the processes for acquiring and redeeming the digital currency.

Moreover, the bill establishes the Michigan bullion depositary fund within the state treasury, allowing the state treasurer to manage funds received from various sources for specific purposes related to the act's administration and operation. It details the establishment of depository accounts, including investment in precious metals and withdrawal conditions, while specifying that no interest will be paid on accounts. The bill also addresses the confidentiality of depository account records and outlines the state treasurer's authority in setting exchange rates for precious metals transactions. Additionally, it mandates the submission of an annual report on the depository's status and operations, and establishes the role of depository security officers, who will have law enforcement powers to ensure security and compliance within the depository.