Missouri Proposes Bitcoin Reserve Fund

CRYPTO
Missouri Proposes Bitcoin Reserve Fund

Missouri Representative Ben Keathley introduced House Bill 1217, proposing the creation of a Bitcoin Strategic Reserve Fund to diversify the state's investments. The bill, filed on Feb. 6, would allow Missouri’s treasurer to invest, hold, and receive Bitcoin as a hedge against inflation. It also mandates that government entities accept cryptocurrency for payments, including taxes and fees, with payees covering transaction costs.

The fund could accumulate Bitcoin through gifts and donations from government bodies and residents. Keathley’s bill also outlines a long-term “hodl” strategy, requiring the state to hold Bitcoin for at least five years before liquidation. If passed, the legislation would grant the treasurer authority to invest state funds in Bitcoin, with an expected effective date of Aug. 28.

Missouri’s proposal follows similar efforts in Utah and other states, with 17 U.S. states currently exploring Bitcoin reserves. Utah's House Bill 230 is closest to enactment, aiming to allocate up to 5% of public funds into digital assets.

TECH
Amazon Posts Record $20B Profit

Amazon has silenced early critics with a record-breaking $20 billion profit in Q4 2024, nearly doubling its previous year’s earnings. CEO Andy Jassy is leveraging this momentum, planning over $100 billion in capital expenditures for 2025, primarily to strengthen Amazon’s AI infrastructure. As AI competition intensifies, Amazon’s investment aligns with what Jassy calls “the biggest technology shift since the internet.”

The company’s profitability is driven by its high-margin businesses, including AWS, which posted a 37% operating profit margin, and its booming ad sector. Amazon’s ad revenues, embedded seamlessly into product searches and Prime Video, contribute significantly to its bottom line.

Despite an 11% revenue increase to $187 billion, Amazon’s stock dipped 4% after-hours due to cautious Q1 guidance. Concerns over foreign exchange impacts and potential tariff uncertainties loom, but Amazon remains focused on AI dominance. Jassy believes cost reductions in AI will drive widespread adoption, securing Amazon’s long-term leadership in the space.

ECONOMY
RBI Cuts Rates After Five Years

The Reserve Bank of India (RBI) cut its key interest rate for the first time in nearly five years, reducing the repo rate by 25 basis points to 6.25% as inflation cools. RBI Governor Sanjay Malhotra announced the decision, signaling a shift toward economic support. The central bank projects 6.7% GDP growth and 4.2% inflation for the next fiscal year.

The rate cut was widely expected, with analysts predicting further easing. The decision follows India’s economic slowdown, with Q3 growth at 5.4%, its weakest in two years. Despite a neutral policy stance, some expected a shift to “accommodative.”

Markets reacted with the Nifty 50 falling 0.5%, while 10-year bond yields rose. The rupee strengthened slightly to 87.47 against the dollar. Concerns remain over potential inflation and capital outflows, but the RBI is reportedly intervening in forex markets to stabilize the currency amid global economic uncertainties.

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