Arizona’s Strategic Digital Assets Reserve Bill (SB 1373) advances towards a final vote after passing the House Committee of the Whole. The bill proposes creating a fund from seized crypto assets, while a second bill (SB 1025) targets investments in Bitcoin exclusively. Despite political challenges, Arizona leads in cryptocurrency reserve initiatives among U.S. states.
Arizona is advancing its Strategic Digital Assets Reserve Bill (SB 1373), which was approved by the House Committee of the Whole on April 17, moving towards a final vote. If successful, the bill will allow the state to establish a Digital Assets Strategic Reserve Fund from seized cryptocurrency, managed by the state treasurer with the ability to invest up to 10% each year.
The treasurer also has the authority to lend from this fund to potentially increase returns, provided this does not introduce excessive financial risks. However, the Governor’s recent threat to veto pending bills over disability funding poses a significant obstacle, as she has already rejected 15 bills.
In addition to SB 1373, Arizona is considering the Arizona Strategic Bitcoin Reserve Act (SB 1025), which focuses solely on Bitcoin investments. This bill allows the state treasury and retirement system to invest 10% of available funds into Bitcoin. Having passed the House Committee on April 1, it is also awaiting a vote.
Comparatively, Arizona leads the initiative among states attempting to establish cryptocurrency reserves. While Utah and New Hampshire have enacted related legislation, Arizona’s efforts are ahead, though challenges remain, especially as the Texas Senate has made substantial progress without major setbacks. These legislative movements indicate a shifting perspective among state entities towards integrating cryptocurrency into their financial strategies.
