#ArizonaBTCReserve

Arizona Passes Groundbreaking Bitcoin Reserve Legislation

Arizona has made history as the first U.S. state to approve legislation allowing the creation of a state-run Bitcoin reserve. On April 29, 2025, the Arizona legislature passed two bills-SB 1025 and SB 1373-that authorize the state treasurer and public pension funds to invest up to 10% of state-managed assets in Bitcoin and other digital assets. This could mean as much as $3.14 billion of Arizona’s $31.4 billion in public funds may be allocated to cryptocurrencies if fully implemented.

The bills also establish a Digital Assets Strategic Reserve Fund, which will manage seized crypto assets and future appropriations, with requirements for on-chain auditability and strict risk controls. Supporters argue this move will help diversify state investments and modernize Arizona’s financial strategy, while critics point to the volatility and risks associated with digital assets.

The legislation now awaits Governor Katie Hobbs’ signature to become law. If signed, Arizona will set a national precedent for integrating Bitcoin into public finance, potentially influencing other states to consider similar measures