25.06.2025 06:11

Arizona's House of Representatives has approved a significant piece of legislation, HB 2324, authorizing the creation of a Bitcoin and digital asset reserve. The bill, passed with a 34-22 vote, paves the way for Governor Katie Hobbs to potentially establish a state-held reserve of cryptocurrencies seized during criminal investigations and forfeitures. This would represent Arizona's second such state-level initiative focused on a cryptocurrency reserve.


This legislative victory follows a previous defeat of HB 2324 in the House during its third reading on May 7th. However, a subsequent motion to reconsider, filed by Republican Senator Jane Shamp, successfully revived the bill in the Senate after a near-party-line vote of 16-14. The only Republican dissenting vote came from Senator Jake Hoffman.


The newly approved bill designates the distribution of seized digital assets. Specifically, the first $300,000 in assets forfeited would be allocated to the Attorney General's office. Amounts exceeding this threshold would be divided, with half remaining with the Attorney General, a quarter going to the state's general fund, and the final quarter contributing to the newly established Bitcoin and Digital Assets Reserve Fund. Furthermore, the bill, sponsored by Republican Senator Jeff Weninger, expands Arizona's forfeiture laws to explicitly include digital assets.


This development underscores a growing trend among states exploring the incorporation of cryptocurrencies into their financial strategies. Through the utilization of seized digital assets, Arizona aims to establish a novel reserve fund, further diversifying its state resources while simultaneously addressing issues of digital asset forfeiture. The bill's eventual enactment hinges on Governor Hobbs' signature.