Committee hears bills to allow crypto mining in industrial zones and authorize limited state crypto reserve; testimony split

Representative Brian Pustumas introduced two bills—House Bill 4085 and House Bill 4087—proposing (1) that digital‑asset mining be a permitted use in areas zoned industrial and (2) that the state treasurer be authorized to hold a limited strategic crypto reserve under specified guardrails.

"I fundamentally believe that sometime in the near future ... digital assets and cryptocurrency will be the foundation of the financial world," Representative Brian Pustumas told the committee as he outlined the bills' goals to update Michigan law and create regulatory guardrails.

Kevin Wysocki, head of policy at Anchorage Digital, testified on custody and operational safeguards for a strategic reserve. Anchorage Digital, he said, operates a federally regulated digital-asset bank and uses air‑gapped hardware security modules and segregated accounts. He described two custody options in the bill—qualified custodians (for example, regulated banks) and secure self‑custody solutions—and warned that cryptocurrencies are bearer assets that require…