Two bills that would allow the US state to invest in digital assets have cleared both legislative chambers and now await Governor Katie Hobbs’ decision.
Senate Bill 1025, the Arizona Strategic Bitcoin Reserve Act, and Senate Bill 1373, establishing a Digital Assets Strategic Reserve Fund, would authorize the state treasurer and retirement system to invest up to 10% of available funds in Bitcoin and other cryptocurrencies.
The move makes Arizona the first state to pass such legislation in the House and Senate. The votes passed on April 28 with 31-25 and 37-19, respectively. Two bills cleared the state’s House Rules Committee on March 24.
ARIZONA JUST BECAME THE FIRST STATE IN THE NATION TO PASS STRATEGIC BITCOIN RESERVE LEGISLATION IN THE HOUSE AND SENATE.
ONTO THE GOVERNOR’S DESK! pic.twitter.com/GLTBdNTkpq
— Dennis Porter (@Dennis_Porter_) April 28, 2025
Up to Governor Hobbs
Proponents, including co-sponsor Representative Jeff Weninger, argue the legislation would diversify Arizona’s reserves, hedge against inflation, and position the state at the forefront of financial innovation.
However, Governor Hobbs has not indicated her position on the bills and has recently pledged to veto all legislation until the state resolves a budget stalemate, according to reports.
If Hobbs does veto the Bitcoin reserve legislation, the matter would be closed for the year, suggesting there would be no opportunity for an override or reconsideration until the next legislative session in 2026.
“Any bill not already on my desk will be vetoed until we have a serious, bipartisan funding solution that protects health care for Arizonans with disabilities,” she said on X on April 17.
SB 1025 focuses specifically on Bitcoin investments and includes a clause to secure any BTC accumulated in a segregated account within a potential federal Bitcoin reserve.
SB 1373 seeks to create a Treasury-managed reserve fund composed of crypto assets seized during criminal investigations. The fund would also be capped at 10%, with the added provision that assets may be loaned to enhance returns.
WHAT NOW for Arizona’s Bitcoin Reserve?
Both Reserve bills must be signed by Governor Hobbs.
Last week Hobbs signed one bill related to digital assets, and vetoed another.
It could go either way.
Which means NOW is the time to contact her office https://t.co/4cohncrir2
— Bitcoin Laws (@Bitcoin_Laws) April 28, 2025
Crypto Legislation Latest
Arizona is the leading state with these two crypto investment bills in the final stage of voting, according to Bitcoin Law’s State Reserve Race tracker.
Bitcoin Laws reported that two crypto bills went to Governor Hobbs’ desk on April 18.
HB 2906 would have expanded a regulatory sandbox to include crypto companies. However, this was vetoed. HB 2342, legislation that protects Bitcoin mining from regulatory discrimination, was passed.
Elsewhere, Bitcoin Reserve Bill HB 92 passed the North Carolina Committee on Rules, Calendar, and Operations of the House this week and has now passed all assigned committees.
On April 21, California Assembly Bill 1052, or the “Digital Assets Bill” (formerly the Money Transmission Act), passed a Committee vote with bipartisan support.
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