Arizona Governor Katie Hobbs recently vetoed a landmark (Arizona Strategic Bitcoin Reserve Bill), which was originally intended to allow the state to invest seized funds in Bitcoin and establish a Bitcoin reserve managed by the state government. This decision immediately sparked controversy and criticism within the cryptocurrency community and among some government officials.
Abandonment before the finish line
According to previous reports from Zombit, the bill had originally passed three readings in the Arizona legislature, and there was widespread belief that Arizona would become the first U.S. state government to approve a Bitcoin reserve bill, only to be opposed at the last moment by Governor Katie Hobbs.
Casa co-founder Jameson Lopp stated on social media platform X: 'This decision will certainly prove to be wrong in the future.' Noted Bitcoin entrepreneur Anthony Pompliano criticized: 'Imagine, a politician actually believes that they can make better investment decisions than Bitcoin, it's truly ignorant. If she (Hobbs) can't outperform Bitcoin's performance, she should just buy Bitcoin outright.'
Cryptocurrency lawyer Andrew Gordon called out: 'We need more elected officials who understand that Bitcoin and cryptocurrencies represent the future.'
Co-sponsors are dissatisfied
The bill's co-sponsor, Arizona Senator Wendy Rogers, expressed deep disappointment with the governor's veto decision and emphasized:
'Politicians do not understand, Bitcoin does not need Arizona, Arizona needs Bitcoin.'
Rogers revealed that Arizona's retirement fund has indirectly been involved in Bitcoin, as it holds shares of Strategy (MSTR), which has allocated most of its assets to Bitcoin.
She promised to reintroduce the bill in the next legislative session and urged supporters to 'hold on (HODL).'
Public funds should not be used to speculate on cryptocurrencies.
However, there are opposing voices supporting Hobbs' decision. Noted cryptocurrency skeptic Peter Schiff stated: 'The government should not use public funds to speculate on cryptocurrencies.'
Katie Hobbs herself explained in a statement that the veto decision was based on prudent financial management principles. She pointed out:
'Arizona's pension system is one of the most robust in the nation because it engages in prudent and informed investments.'
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