The U.S. State of Ohio has taken a bold step by unanimously advancing a bill that allows tax-free Bitcoin payments under $200 and proposes legal protections for digital asset users. The Ohio Blockchain Basics Act (HB 116) was passed by the state’s House Technology Committee on June 17, 2025. The bill was passed with a unanimous 13-0 vote and includes important new rules for both individuals and businesses working with Bitcoin.
The new bill will give Ohio residents a tax break on everyday spending when paying with Bitcoin. That means, if you spend less than $200 in Bitcoin payments, you won’t have to report any profits or gains, making it much easier to use crypto for daily spending.
The bill also provides legal protection and mining rights, and gives a clear definition for terms like blockchain, bitcoin mining, and self-custody. It confirms that people have the right to run Bitcoin nodes and mine Bitcoin. It also aims to protect miners and those involved in decentralized Bitcoin activities from strict government rules.
The passage of the HB 116 bill is part of a bigger plan for Ohio. The State has also proposed two more bills HB 18 and SB 57—which suggest creating state-owned bitcoin reserves. These reserves would only invest in bitcoin-related products that are publicly traded and have a market value of at least $750 billion, using secure storage methods.
Ohio is now joining states like Arizona, Texas and Florida in supporting similar bitcoin reserve laws. The bill also got a nod just one day after the U.S. Senate passed big changes to stablecoin rules through the GENIUS Act in Washington, D.C.