Bill No. 1203, known as the "Strategic Bitcoin Reserve Act," aims to regulate the investment of public funds in digital assets, specifically bitcoin and stablecoins, by the State Treasurer of Oklahoma. The bill establishes definitions for key terms such as "bitcoin," "digital asset," "exchange-traded product," "qualified custodian," "stablecoin," and "staking." It allows the State Treasurer to invest public funds from the State General Fund, Revenue Stabilization Fund, and Constitutional Reserve Fund, with a limit of five percent of the total amount of public funds in each account. Additionally, any digital assets acquired must be held by a qualified custodian or in the form of an exchange-traded product.

Furthermore, the bill permits state retirement funds to invest in digital assets through exchange-traded products that are registered with the appropriate regulatory bodies. The same five percent investment limit applies to these funds as well. The act also allows for the staking of digital assets, provided that the Office of the State Treasurer retains legal ownership and utilizes a third-party solution. The bill is set to take effect on November 1, 2025.