Concerns about the volatility and risk of using Bitcoin as collateral in public finance instruments contributed to the rejection of the bond proposal.

"The March 31 filing also reported $16.7 million of restricted crypto assets that included Bitcoin pledged as collateral for convertible notes issued to JGB entities. The filing leaves the restricted portion of the July 27 treasury unknown, preventing investors from treating the full $71.7 million as demonstrated unencumbered value available to common holders."

"Some experts warned against the proposal, describing it as carrying 'substantial risk' for New Hampshire residents."