**Arizona Governor Vetoes Bitcoin Reserve Bill, Blocking Historic Crypto Move**

Arizona Governor **Katie Hobbs** has vetoed a bill that would have allowed the state to hold **#Bitcoin ($BTC)** as part of its treasury reserves, halting efforts to make Arizona the first U.S. state to adopt such a policy.

### **Key Details:**

- The **Digital Assets Strategic Reserve Bill** aimed to let Arizona invest seized funds into **#BTC** and establish a state-managed crypto reserve.

- Governor Hobbs rejected the bill on Friday, as confirmed by an update on the **Arizona State Legislature’s website**.

- If passed, Arizona would have set a precedent for state-level **#Bitcoin** adoption in the U.S.

### **Why It Matters:**

This decision marks a setback for **#crypto** advocates pushing for institutional adoption. While other states like **Texas** and **Wyoming** have embraced blockchain-friendly policies, Arizona’s veto underscores the ongoing political debate around **#Bitcoin** as a reserve asset.

### **Market Reaction:**

The veto does not directly impact **$BTC** prices, but it highlights the regulatory challenges facing **#crypto** integration into government financial systems.

### **What’s Next?**

Pro-crypto lawmakers may revisit similar proposals, but for now, Arizona’s path to becoming a **#Bitcoin** pioneer remains blocked.

**Stay tuned for more updates on crypto legislation!** 🚀

*Follow us for the latest in #Blockchain and #Crypto news.*