Arizona has taken a significant step towards establishing a Bitcoin reserve. The state legislature passed Senate Bills 1025 and 1373, allowing up to 10% of state funds to be invested in digital assets, including Bitcoin. This could amount to approximately $3.14 billion, potentially making Arizona the second-largest public institutional Bitcoin holder in the U.S.
These bills create a Strategic Reserve Fund for Digital Assets, which will hold seized crypto and future allocations. Investments must adhere to standard fiduciary risk management. If Governor Katie Hobbs signs these bills, Arizona would be the first U.S. state to formally integrate Bitcoin into its public treasury, setting a possible precedent for national adoption.
