#ArizonaBTCReserve Arizona has recently moved closer to establishing a Bitcoin reserve, with legislation allowing the state to invest up to 10% of its public funds in digital assets, including Bitcoin. This initiative aims to diversify state assets and marks a significant step in the adoption of cryptocurrency at the state level.
**Legislative Details**
- Arizona's Senate Bill 1025 and Senate Bill 1373 were approved by the state legislature, allowing the state treasury to invest up to 10% of its $31.5 billion public fund in Bitcoin and other digital assets.
- The bills were passed with a vote of 31 to 25 in the House and 37 to 19 in the Senate, showcasing bipartisan support for the initiative.
**Strategic Reserve Fund**
- The legislation establishes a Digital Assets Strategic Reserve Fund, which will utilize seized crypto assets and future appropriations.
- This fund is designed to hold Bitcoin and select non-fungible tokens (NFTs), emphasizing high liquidity and security.
**Potential Impact**
- If fully implemented, Arizona could invest approximately $3.14 billion in Bitcoin, potentially acquiring around 31,000 BTC, making it one of the largest institutional holders of Bitcoin among U.S. public entities.
- This move could set a precedent for other states considering similar strategies to bolster their public reserves and attract blockchain innovation.
**Governor's Decision**
- The bills are currently awaiting the signature of Governor Katie Hobbs, who has expressed concerns over budgetary issues and has a history of vetoing legislation.
- Her decision will be crucial in determining whether Arizona will officially adopt this Bitcoin reserve strategy.