Arizona has solidified its position as a trailblazer in the realm of digital assets by becoming the second U.S. state to enact a bitcoin reserve bill into law, following New Hampshire’s recent legislative move. Governor Katie Hobbs signed House Bill 2749 on Wednesday, paving the way for the establishment of a crypto reserve fund. The legislation, championed by Representative Jeff Weninger, allows Arizona to hold unclaimed virtual assets in their native form and potentially utilize them for future needs, subject to legislative approval.
The new law also permits qualified custodians to stake these reserve assets, generating potential rewards or airdrops. According to Weninger, this marks a significant step in modernizing Arizona’s legal framework to align with the growing prominence of cryptocurrencies in global finance. “By creating a Bitcoin and Digital Assets Reserve that is tax-free, we are ensuring Arizonans receive the full market value of their assets while integrating crypto into our unclaimed property system,” he stated.
Arizona’s actions come on the heels of New Hampshire’s approval of a similar bill, HB 302, which was signed by Governor Kelly Ayotte. This measure authorizes the state treasurer to allocate up to 10% of certain funds into investments in precious metals and digital assets, with Bitcoin being the only asset currently meeting the required $500 billion market capitalization threshold.
Meanwhile, Arizona is considering additional cryptocurrency-related legislation. Senate Bill 1373, which would establish a strategic reserve from seized digital assets, awaits Governor Hobbs’ decision. However, Hobbs recently vetoed another bill, SB 1025, which sought to allow state retirement systems to invest up to 10% of their portfolios in cryptocurrencies like Bitcoin. In her veto letter, she emphasized concerns about risking retirement funds on “untested investments like virtual currency.”
As momentum builds around the integration of digital assets into state financial strategies, other states such as North Carolina and Texas are advancing their own proposals for strategic crypto reserves. These developments highlight a growing national trend toward embracing blockchain technology and cryptocurrencies within public policy frameworks, according to data from Bitcoin Laws.