#ArizonaBTCReserve Arizona has taken a historic step towards adopting Bitcoin as a strategic reserve. The bills SB 1373 and SB 1025 were approved in their third and final reading, and are now ready to be sent to Governor Katie Hobbs for her signature.

Up to 10% of the state's public funds may be invested in Bitcoin and other digital assets.

A fund will be established to hold seized cryptocurrencies and future appropriations, with mandates for on-chain auditability and standardized risk controls.

The Arizona State Treasury managed over $31.4 billion in assets in 2023, meaning they could potentially invest up to $3.14 billion in Bitcoin and other digital assets.

If implemented, Arizona would become the first U.S. state to formally hold Bitcoin in its treasury, which could set a precedent for other states and sovereign governments.

Governor Katie Hobbs has not yet indicated her position on the bills, and her signature is necessary for the Bitcoin reserve to become a reality. Some experts and residents have expressed concerns about Bitcoin's volatility and its potential to facilitate tax evasion, but others see this initiative as an opportunity to position Arizona as a leader in cryptocurrency adoption.