Arizona is moving closer to establishing a digital currency reserve fund from seized assets
The controversial bill has been passed
After several failures, the bill HB 2324 has just been passed by the Arizona House of Representatives with a ratio of 34–22, following the narrow result of 16–14 in the Senate last week.
If approved by Governor Katie Hobbs, Arizona will become one of the first states in the U.S. to establish a reserve fund for digital assets from cryptocurrency seized in criminal cases.
The reserve fund will be managed by the state and invested flexibly
According to the bill's content, the Arizona State Treasurer will have the authority to manage the digital asset portfolio, including the rights to invest, reinvest, or withdraw capital from cryptocurrencies or related ETFs.
The special thing is that this fund only uses digital assets seized from criminal activities, allowing the state to both control resources and leverage the increasing value of cryptocurrency.
Arizona shows a direction connected to blockchain technology
This is Arizona's second initiative this year to institutionalize digital assets within the public sector, reflecting the trend of expanding blockchain applications in state finance.
If signed into law, Arizona will pioneer the integration of digital assets into public finance strategy, potentially setting a precedent for other states in the U.S.