North Dakota Republicans love a socialist bank. Governor Kelly Armstrong admits it is "weird." Then he says he's glad they have it. That's the whole position. Weird, but profitable.
The Bank of North Dakota is the only state-owned bank in America. It started in 1919, after the Nonpartisan League swept into power. The league was organized by Arthur C. Townley, a former Socialist Party member and failed flax farmer. He barnstormed the state in a borrowed Ford Model T.
Borrowed. The founder of North Dakota's socialist bank could not afford a car.
Today the bank manages about $11 billion in assets. By CNBC's account, its supporters include Armstrong, Senators Kevin Cramer and John Hoeven, and Doug Burgum. Hoeven ran the place before he went to the Senate. All Republicans. All on the record as anti-socialism.
Burgum's 2019 campaign tweeted that socialism has no place in North Dakota. He then chaired the commission overseeing the state bank and the state-owned flour mill. Two socialist institutions. One man. Zero chill.
Armstrong also says North Dakota could not set up the bank today. Correct. Someone would call it socialism. The only reason it survives is that nobody has been able to vote on it since the Model T.
Now Democratic socialist candidates point at Bismarck and say, look, it works. Republicans respond by saying it works, but please don't call it that. Imagine owning a Ferrari and begging the neighbors to say it's a Buick.
The bank made $231.8 million in 2025, per reports. Profit is the one ideology North Dakota accepts without a loyalty oath.
Retail traders will read this and conclude the market is a lie. They are half right. The market is a lie. The bank is a savings account with a flag.
Socialism works fine in North Dakota, as long as everyone agrees to pretend it's a Norwegian hobby.
Photo by on Unsplash
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