Final Vote Halts World-First Crypto Bond
A closely watched $100 million bitcoin-backed bond proposal was defeated by New Hampshire’s Executive Council on Wednesday, ending what would have been the world’s first state-issued cryptocurrency bo
On paper, the bond was designed so that New Hampshire taxpayers faced zero direct risk—state officials emphasized its “conduit” structure, meaning private investors would supply capital while CleanSpark provided collateral in bitcoin. Yet despite these assurances and the support of Governor Kelly Ayotte, councilors Karen Liot Hill, Dave Wheeler, and Janet Stevens voted down the proposal, leaving supporters stunned at the abrupt reversal.
The Executive Council’s 3-2 vote on Wednesday included “no” votes from Hill, Wheeler, and Stevens, with Kenney and Stephen in favor.
Council’s 3-2 Split Sinks Proposal
According to coindesk.com, the council’s vote marked the last required step before issuance. Councilors Joseph Kenney and John Stephen supported the plan, while their three colleagues tipped the balance against it during the Wednesday hearing. The defeat came just months after BFA approval in November 2025 and Moody’s provisional Ba2 rating—two milestones that had encouraged advocates to believe passage was likely.
Governor Ayotte had championed the project as a way to bring new investment opportunities to New Hampshire and further cement its reputation as a crypto-forward state. However, opposition from a majority of councilors proved decisive. Their concerns reportedly centered on perceived risks and uncertainties around bitcoin’s price volatility and regulatory landscape.
For now, New Hampshire remains without a bitcoin-backed municipal bond.
Moody’s Ba2 Rating Moot After Rejection
The bond proposal had cleared several key hurdles before its demise. In March 2024, Moody’s Ratings assigned it a provisional Ba2 grade—a speculative but not junk-level rating—suggesting moderate credit risk for investors. This rating was seen as validation for both the BFA’s structuring efforts and CleanSpark’s financial position as a borrower. Yet with the council’s rejection, Moody’s assessment is now largely academic.
The Ba2 rating would have made this one of the most prominent crypto-related debt instruments ever evaluated by a major ratings agency. It also highlighted how far New Hampshire had come since passing legislation in 2023 granting its treasurer authority to hold bitcoin reserves—a move that made it the first U.S. state with an official crypto reserve policy.
Political Fallout Follows Crypto Setback
The council’s decision drew immediate criticism from industry advocates and local politicians alike. Keith Ammon, majority floor leader in the New Hampshire House of Representatives, took to social media site X on Thursday to denounce what he called a missed opportunity for innovation and economic growth. Ammon has been an outspoken supporter of digital assets in state policy debates over recent years.
Meanwhile, CleanSpark—the datacenter operator that would have benefited from up to $100 million in bond-backed financing—remains without state support for its expansion plans. It is unclear whether CleanSpark or other companies will attempt similar proposals elsewhere or if this defeat will chill future public-private crypto collaborations in New Hampshire.
Crypto Reserve State Reverses Course
Just last year, Governor Ayotte signed into law provisions making New Hampshire the first U.S. state with a strategic bitcoin reserve under treasury management. That legislative milestone positioned New Hampshire at the forefront of governmental crypto adoption—a stance reinforced by Ayotte’s vocal backing of the failed bond initiative.
Now, with Wednesday's 3-2 vote against what would have been a landmark $100 million issuance, that leadership is suddenly in question. The rapid reversal underscores how political dynamics can shift even after technical milestones like ratings approval are achieved.
Main Takeaways
- •On Wednesday, New Hampshire’s Executive Council voted 3-2 to reject a $100 million Bitcoin-backed bond proposal.
- •The bond, backed by CleanSpark and rated Ba2 by Moody’s in March 2024, would have posed zero risk to taxpayers.
- •The council’s vote was the final approval step, following BFA’s November 2025 endorsement and Governor Ayotte’s support.
Short-term watchlist
If the New Hampshire Executive Council's 3-2 vote to cancel the $100 million Bitcoin-backed bond is reversed or reconsidered in a future session, immediate attention would shift to any new scheduled hearings or votes, but as of now, no such event has been confirmed.