The bill amends the Public Employee Retirement System Investment Act of 1965 by adding a new section, 19c, which allows the state treasurer, as the investment fiduciary, to invest in cryptocurrency. Specifically, the bill stipulates that the cryptocurrency must have a market capitalization of at least $250 billion, averaged over the previous calendar year. Furthermore, any digital assets held by the state must be in the form of an exchange-traded product issued by a registered investment company.

Additionally, the bill defines "cryptocurrency" as digital currency that utilizes encryption techniques for regulating the generation of currency units and verifying fund transfers, while operating independently of a central bank. This legislative change aims to expand investment options for public employee retirement systems in Michigan by incorporating cryptocurrency into their portfolios.

Statutes affected:
Substitute (H-2): 38.1132, 38.1141
House Introduced Bill: 38.1132, 38.1141