- Arizona establishes a state-managed Bitcoin and Digital Assets Reserve Fund to hold unclaimed digital assets and rewards.
- The state becomes the second in the U.S. to create a legal structure for managing cryptocurrency reserves.
- Governor Katie Hobbs vetoed a separate bill allowing state retirement funds to invest in cryptocurrencies, citing investment risks.
On Wednesday, Governor Katie Hobbs of Arizona signed House Bill 2749 into law, creating a new state-administered Bitcoin and Digital Assets Reserve Fund. The legislation enables Arizona to hold unclaimed digital assets and staking rewards. This move makes the state the second in the U.S. to establish a government framework for safeguarding digital assets, according to official reports.
With this signing, Arizona joins New Hampshire, where Governor Kelly Ayotte approved a similar bill, allowing public funds to include cryptocurrency reserves. The Arizona law follows the national trend of states exploring strategic Bitcoin reserves as digital assets grow in prominence. President Trump has also voiced plans to develop a federal Bitcoin reserve, naming David Sacks as a “crypto czar,” the article noted.
Just days before signing House Bill 2749, Governor Hobbs vetoed Senate Bill 1025, which would have permitted Arizona’s state retirement fund to invest up to 10% in currencies like Bitcoin. In an official letter, she wrote, “Arizona’s retirement funds are not the place for the state to try untested investments like virtual currency.” The governor emphasized the importance of maintaining the strength of the Arizona State Retirement System.
Bitcoin, a digital currency built on blockchain technology, has divided opinion. Detractors call it volatile and lacking inherent value, while supporters refer to it as “digital Gold,” highlighting its track record and appeal as a potential store of value. Advocates believe regulatory changes have held Bitcoin back until now.
Several states are discussing creating their own Bitcoin reserves, and Wisconsin’s pension fund has reportedly added Bitcoin to its assets. The article includes further background and statements from KGUN 9 reporter Jason Barr, who covers regional developments and provided explanations for the governor’s decisions.
Additional contact information for reporter Jason Barr, as well as social media and source links, can be found on the original KGUN 9 article.
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