Crypto Law Profile
Pending Illinois companion bills would create a DCEO-run Community Bitcoin Reserve Program, designate Altgeld Bitcoin Reserve as the first site, and set custody, audit, release, donation, and sale restrictions for Bitcoin held under the program.
The Community Bitcoin Reserve Act is a pending Illinois proposal filed in the 104th General Assembly as SB 3743 and HB 5621. As introduced, the bills would create a Community Bitcoin Reserve Program within the Illinois Department of Commerce and Economic Opportunity, designate the Altgeld Bitcoin Reserve as the first community reserve site, and allow additional communities to be approved under statewide guardrails. The measure is not enacted as of June 10, 2026; the Senate version is pending in the Assignments Committee and the House version is pending in the Rules Committee.
The proposal appears in two companion bills. SB 3743 was introduced on February 5, 2026, by Sen. Emil Jones III and referred to Senate Assignments. LegiScan later listed Sen. Neil Anderson as a co-sponsor. HB 5621 was filed by Rep. La Shawn K. Ford on February 6, 2026, introduced for first reading on February 13, and referred to the House Rules Committee the same day. NCSL’s 2026 digital assets legislation tracker listed both the House and Senate Community Bitcoin Reserve Act bills as pending in its June 2026 update.
The bill would establish the Community Bitcoin Reserve Program inside DCEO rather than as a general-purpose state treasury reserve. Its stated structure is community-focused: the Altgeld Bitcoin Reserve would be the inaugural site, while additional participating communities could be approved by the department under criteria and oversight in the Act. The text says any state acquisition of Bitcoin for the program would require General Assembly authorization and must be conducted in a budget-neutral manner. It also states that the Act should not be construed to require new appropriations or create state debt, deficits, or contingent liabilities.
The proposed custody model is built around multisignature cold storage. The text would require a minimum threshold of approvals for Bitcoin held under the Act, at least one community-designated keyholder, and a configuration that does not permit unilateral control by any single entity. Additional keys could be held by ABR Wealth Fund DAO LLC acting as an administrative and fiduciary agent, by a state-approved regulated custodian, or by a neutral third-party keyholder.
The bill also includes proof-of-reserve and audit provisions. Quarterly proof-of-reserve reports would be required, annual independent audits of multisignature custody would be required, and reports would be submitted to the Illinois Comptroller for public posting. Private keys could not be publicly disclosed. ABR Wealth Fund DAO LLC would oversee multisignature administration, custody procedures, transparency protocols, audit compliance, and coordination of authorized program releases, while the ABR Foundation could administer community programs funded by authorized releases but would not hold custody of the Bitcoin.
Bitcoin held under the proposed Act would remain in multisignature cold-storage custody for at least five years from the date of acquisition. Beginning in the sixth year, limited annual releases could occur only for authorized community programs and would be capped at 0.21 Bitcoin per year and no more than 1% of the total Bitcoin held in the reserve at the time of release. The bill describes those releases as a maximum cap, not a guaranteed distribution.
The proposal would prohibit Bitcoin held under the Act from being traded, loaned, leveraged, pledged as collateral, or used in speculative, derivative, or yield-generating activity. It also states that Bitcoin held under the Act could not be sold, liquidated, or transferred except by a future Act of the General Assembly. The State of Illinois, ABR Wealth Fund DAO LLC, and the ABR Foundation could accept Bitcoin donations designated for the program, and the bill includes a no-state-liability provision for certain custodian, third-party, and cybersecurity losses outside the responsibilities defined in the Act.
For CryptoSlate’s legal-reference taxonomy, the Community Bitcoin Reserve Act is best treated as a pending state bill focused on government crypto holdings, custody, disclosure, DAO-linked administration, and state tax treatment. It should not be described as an enacted Illinois Bitcoin reserve unless the General Assembly passes the measure and it becomes law. If enacted in its introduced form, the Act would take effect upon becoming law.
Establishes the Community Bitcoin Reserve Program within DCEO and designates Altgeld Bitcoin Reserve as the first community reserve site.
Allows state Bitcoin acquisition only if authorized by the General Assembly and conducted through budget-neutral mechanisms.
Requires multisignature cold-storage custody, at least one community keyholder, and no unilateral control by a single entity.
Requires quarterly proof-of-reserve reports, annual independent custody audits, and public posting through the Illinois Comptroller.
Designates ABR Wealth Fund DAO LLC to oversee custody procedures, transparency protocols, audit compliance, and authorized releases.
Provides that authorized transfers to the ABR Foundation shall not constitute an Illinois State tax event, to the extent permitted by law.
Requires a five-year custody period; from year six, releases may be capped at 0.21 BTC and no more than 1% of reserve holdings per year.
Bars trading, lending, leverage, collateral use, derivatives, yield activity, and sale or transfer except by future General Assembly act.
Illinois House adopted HR 446 recognizing Altgeld Bitcoin Reserve as the nation’s first community-run Bitcoin reserve.
Sen. Emil Jones III introduced SB 3743; the bill received first reading and was referred to Senate Assignments.
Rep. La Shawn K. Ford’s House companion received first reading and was referred to House Rules.
LegiScan listed Sen. Neil Anderson as an added SB 3743 co-sponsor while the bill remained pending in Assignments.
ABR Wealth Fund DAO LLC, Illinois Department of Commerce and Economic Opportunity, Illinois General Assembly, Illinois Office of the Comptroller
Bitcoin
As of June 10, 2026, this is a pending bill profile, not an enacted law. The Senate and House versions appear substantively aligned based on introduced text; editors should re-check ILGA before publication.
