Arizona’s legislature has advanced two groundbreaking bills—Senate Bill 1025 (SB1025) and Senate Bill 1373 (SB1373)—that together would authorize the creation of a Strategic Bitcoin Reserve and a Digital Assets Strategic Reserve Fund for the state treasury and public assets . If enacted, these measures would allow Arizona to allocate up to 10% of its roughly $31.5 billion in public funds into Bitcoin and other digital assets, positioning it as the first U.S. state to hold cryptocurrency in its official reserves . Both bills now await Governor Katie Hobbs’ signature, with proponents touting diversification and inflation hedging and critics warning of volatility and fiscal risk .
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Background and Context
On April 22, 2025, the Arizona House approved SB1025—dubbed the “Arizona Strategic Bitcoin Reserve Act”—by a narrow 31-25-4 vote, marking a historic first step toward treating Bitcoin as a formal strategic asset for a U.S. state . Concurrently, SB1373 passed with a more decisive 37-19-4 margin to establish a Digital Assets Strategic Reserve Fund, which would pool seized cryptocurrencies and legislative appropriations under the State Treasurer’s oversight . These moves echo broader interest at both state and federal levels, including an executive order at the White House proposing a national Bitcoin reserve earlier in 2025 .
