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New Hampshire set for final vote on $100 million Bitcoin-backed bond

The three-year deal would rely on Bitcoin posted as collateral by CleanSpark, with a trust able to liquidate if the token price drops below a threshold to repay investors.

Reported · Written up by our desk · Municipal Bonds

New Hampshire’s Executive Council will hold a public hearing Wednesday and vote on a first-of-its-kind $100 million Bitcoin-backed municipal bond, the last approval needed before the project can move forward, according to Bitcoin Magazine.

Governor Kelly Ayotte and supporters describe the effort as historic, with the plan framed as a way to attract blockchain activity to the state. The transaction would be administered by Wave Digital Assets, while BitGo would act as custodian, holding the Bitcoin in regulated cold storage.

The structure is designed to differ from conventional municipal bonds because no public money is at stake. Instead of taxpayers repaying investors, a private borrower, CleanSpark, would post Bitcoin as collateral, and bond payments would be funded from proceeds tied to that collateral, with investors also receiving additional payments linked to Bitcoin price appreciation.

Supporters say the model could provide a revenue stream for the New Hampshire Business Finance Authority’s investment programs without exposing taxpayers to Bitcoin volatility. The main risk cited is that because the bond uses a fluctuating asset as collateral, a downturn could trigger automatic liquidation before the term ends, according to Bitcoin Magazine.

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