North Carolina lawmakers have introduced House Bill 1029, formally titled the NC Digital Asset and Stablecoin Act, marking a significant push by the state to establish its own regulatory framework for cryptocurrency custody and stablecoin issuance.
The bill was filed on April 21, 2026, with the first official edition dated April 22 listing Representatives Chesser, Willis, Ross, and Schietzelt as primary sponsors. HB 1029 was referred to the Commerce and Economic Development Committee, then Finance, then Rules, Calendar, and Operations of the House.
TLDR: KEY POINTS
- North Carolina’s HB 1029 would let state-chartered banks offer digital asset custody, staking, and transaction services with a 60-day notice requirement.
- Payment stablecoin issuers with up to $10 billion in outstanding issuance would need a state license and must maintain 100% reserve backing.
- The stablecoin provisions are designed to interoperate with the federal GENIUS Act, taking effect on the earlier of January 18, 2027, or 120 days after final federal regulations.
What HB 1029 Would Create
The bill is split into two major parts. Part I would enact a Digital Asset Financial Act allowing North Carolina state-chartered banks and credit unions to provide digital asset custody, staking, and transaction services. Banks would need to file written notice with regulators at least 60 days before launching these services and comply with disclosure, reserve, anti-money-laundering, cybersecurity, and audit requirements.
Part II would establish an NC Stablecoin Act requiring most payment stablecoin issuers with consolidated outstanding issuance of up to $10 billion to obtain a state license. Licensed issuers must maintain eligible reserve assets equal to 100% of outstanding stablecoins and redeem them at par value.
The legislation also addresses unclaimed digital property, introducing a five-year abandonment trigger and a minimum three-year holding period by the State Treasurer. Banks offering digital-asset services would face mandatory independent annual audits, a detail that sets North Carolina’s approach apart from more generic state-level crypto proposals.
Why State-Level Crypto Legislation Matters Now
North Carolina’s bill arrives as states compete to attract digital asset businesses through clear regulatory frameworks. The act’s stablecoin provisions are explicitly designed to work alongside the federal GENIUS Act, recognizing federally qualified issuers and requiring annual state similarity certifications. Federal standards would control to the minimum extent of any conflict.
This interoperability approach differs from states that have passed standalone crypto laws without federal coordination. As institutional crypto activity grows across the U.S., state frameworks that align with federal regulation could give local banks and issuers a clearer path to compliance.
The bill’s $10 billion licensing threshold for stablecoin issuers signals an intent to regulate mid-sized and smaller issuers at the state level while leaving the largest players to federal oversight. The 100% reserve requirement mirrors standards that have become the baseline expectation across both state and federal proposals.
The broader crypto market provided a mixed backdrop for the bill’s introduction. Bitcoin traded at $78,284 with a market capitalization of roughly $1.57 trillion, while the Fear and Greed Index sat at 33, indicating a “Fear” sentiment among traders.
That cautious market mood has not slowed legislative momentum. Multiple states have moved forward with crypto-related bills in 2026, and companies across the digital asset industry continue expanding operations regardless of short-term price swings. For North Carolina, the act represents a bid to position the state as a hub for regulated digital asset services.
What to Watch Next
HB 1029 faces a multi-step legislative process. The bill must clear the Commerce and Economic Development Committee, then the Finance Committee, then Rules, Calendar, and Operations before reaching the full House floor for debate and a vote.
Amendments are likely as the bill moves through committee review. The NC Commissioner of Banks would hold significant authority under the proposed framework, overseeing both bank digital-asset activities and stablecoin issuer licensing.
The stablecoin section includes a built-in timeline trigger: it would take effect on the earlier of January 18, 2027, or 120 days after final federal regulations implementing the GENIUS Act are issued. That linkage means the bill’s practical impact depends partly on the pace of federal rulemaking.
Crypto industry participants and everyday digital asset users in North Carolina should monitor committee schedules for hearing dates. Whether HB 1029 advances, stalls, or gets significantly amended will depend on how lawmakers balance innovation incentives with consumer protection during committee markup.
Disclaimer: This article is for informational purposes only and does not constitute financial or investment advice. Cryptocurrency and digital asset markets carry significant risk. Always do your own research before making decisions.
