Minnesota has signed legislation allowing state-based banks and credit unions to provide cryptocurrency custody services. Multiple outlets report that Governor Tim Walz signs HF 3709, establishing a framework for how eligible financial institutions can hold digital assets. The law authorizes banks and credit unions to offer crypto custody starting Aug. 1. CoinTelegraph adds that institutions can provide these services in a nonfiduciary capacity, indicating the custody relationship is defined differently from traditional fiduciary roles. CoinDesk characterizes the change as the first unified “digital asset safety net” in the Midwest for banks and credit unions, highlighting that Minnesota’s statute is designed specifically for regulated financial entities. The Block similarly focuses on the signing of HF 3709 and the permission for banks and credit unions to offer custody. Together, the sources agree on the timing, the entities covered, and that the law legalizes crypto custody services under Minnesota’s regulatory approach, while leaving implementation details to the institutions operating under the new statute.