New Hampshire nears vote on world's first Bitcoin-backed municipal bond

The U.S. state of New Hampshire is set to review and vote today on a proposal to issue $100 million in Bitcoin-collateralized bonds, BeInCrypto reported. The New Hampshire Executive Council will hold a public hearing attended by the governor and five council members before proceeding with the vote. If approved, the issuance would mark the first-ever Bitcoin-backed municipal bond and would have cleared its final administrative hurdle. According to the report, the bonds would be collateralized by Bitcoin and include a price-linked liquidation clause to protect investor repayments amid price volatility. The collateral would be forcibly liquidated and the bonds redeemed early if the collateralization ratio drops to 140%. This threshold could be breached if the price of BTC falls by approximately 12.5% from its level at the time of issuance.