Arizona Governor Katie Hobbs has signed House Bill 2749, enabling the state to keep unclaimed crypto after three years and creating a Bitcoin Reserve Fund. This does not involve taxpayer funding. The law could signal more crypto-friendly moves from Hobbs, particularly regarding Senate Bill 1373, which proposes allocating state funds for Bitcoin investment. Meanwhile, New Hampshire is also moving towards crypto investments.
On May 7, Arizona Governor Katie Hobbs gave her approval to House Bill 2749, paving the way for the state to keep unclaimed cryptocurrency. This law allows Arizona to claim ownership of digital assets deemed abandoned if the original owner does not respond to communication for three years. It’s worth noting that this initiative doesn’t tap into taxpayer dollars or state funds, which is significant for the budget-conscious electorate.
With this new legislation, state custodians can actually stake the unclaimed crypto to generate rewards or receive airdrops, which will be funnelled into what Arizona has termed the Bitcoin and Digital Asset Reserve Fund. Jeff Weninger, the bill’s sponsor, expressed enthusiasm over the law’s potential, stating it positions Arizona as a frontrunner in effectively managing abandoned digital currencies.
Weninger commented that this structure not only safeguards property rights but also grants the state new tools to navigate the evolving digital economy. Interestingly, just days before, on May 3, Hobbs had vetoed a similar piece of legislation, Senate Bill 1025, which sought to allow public funds to be invested in Bitcoin. That veto was largely due to concerns regarding investing public resources in assets considered “untested.”
However, with the signing of HB 2749, optimism is growing that Hobbs might also support Senate Bill 1373. Julian Fahrer, founder of Bitcoin Laws, pointed out on social media that this progression signals a possible shift in Hobbs’ stance towards crypto legislation. This particular bill would permit Arizona’s treasurer, Kimberly Yee, to allocate as much as 10% of the state’s Budget Stabilization Fund into Bitcoin, a notable financial commitment.
Arizona’s actions echo a similar recent move in New Hampshire, where Governor Kelly Ayotte signed House Bill 302 on May 6. This allows the New Hampshire treasury to invest in cryptocurrencies that boast a market cap exceeding $500 billion, which at this point, only Bitcoin qualifies for. The regulatory landscape appears to be rapidly shifting in favour of cryptocurrency investments, raising questions about future developments as these states navigate the digital economy.
