#ArizonaBTCReserve Arizona is making strides in becoming the first US state to establish a Bitcoin reserve. The state's legislature has passed two bills, Senate Bill 1025 and Senate Bill 1373, which would allow the state to invest up to 10% of its $31.5 billion in public funds in digital assets, including Bitcoin and NFTs.

*Key Aspects of the Bills:*

- *Digital Assets Strategic Reserve Fund*: This fund would hold seized crypto assets and future appropriations, with mandates for on-chain auditability and standardized risk controls.

- *Investment Allocation*: If enacted, Arizona could invest up to $3.14 billion in digital assets, potentially acquiring around 31,000 BTC and becoming the second-largest institutional Bitcoin holder in the US.

- *Potential Impact*: This move could set a precedent for other states and sovereign governments, attracting blockchain innovation and diversifying public asset portfolios ¹.

*What's Next:*

The bills now await final confirmation from Arizona Governor Katie Hobbs. If signed, the state would become the first in the US to formally hold Bitcoin in its treasury. However, if vetoed, the bill would be overridden, and all budgetary allocations would be put on pause ².

This development is part of a larger trend, with other states like Texas, Florida, and New Hampshire exploring Bitcoin-backed reserve strategies. The US federal government is also considering a strategic Bitcoin reserve, with proposals from President Donald Trump and Senator Cynthia Lummis ³.