Arizona legislature passes Bitcoin reserve bill, awaiting governor's approval
TechFlow Selected TechFlow Selected
Arizona legislature passes Bitcoin reserve bill, awaiting governor's approval
Proponents of the proposal argue that establishing a BTC reserve would help Arizona diversify its assets, hedge against inflation, and position the state as a leader in digital financial innovation.
Navigating Web3 tides with focused insightsAuthor: cryptoslate
Article by: Blockchain Knight
On April 28, Arizona's state legislature passed a measure with largely bipartisan support, making it the first state in the U.S. to approve legislation establishing a strategic BTC reserve.
The bill, introduced by Republican Senator Wendy Rogers, authorizes the state treasurer to invest a portion of public funds in BTC.
According to details shared by Dennis Porter, CEO of the Satoshi Action Fund, no lawmakers were absent during the two votes. The bill passed in the House with 29 votes in favor and 25 opposed, and in the Senate with 31 votes in favor and 25 opposed, although four senators did not participate in the Senate vote.
The bill has now been sent to Governor Katie Hobbs for consideration. Hobbs has not yet indicated whether she will sign or veto the bill.
However, she recently pledged to veto all bills sent to her desk until the state legislature passes a new budget. While Hobbs has not made specific comments on Senate Bill 1025 (SB1025), she has maintained her broader veto stance, leaving the bill’s future uncertain.
Supporters of the proposal argue that establishing a BTC reserve would help Arizona diversify its assets, hedge against inflation, and position the state as a leader in digital financial innovation.
They highlight BTC’s fixed supply and decentralized nature as advantages over traditional fiat reserve assets, especially amid growing concerns about national debt and currency devaluation.
In contrast, critics warn that BTC’s extreme price volatility could expose state funds to significant financial risk. Some also express concern over the lack of federal regulation for crypto assets and question whether public funds should be used to invest in speculative assets.
Under the bill, BTC investments would be categorized as digital currency holdings within the state’s investment portfolio, subject to the oversight and restrictions defined by Arizona’s existing public fund management regulations.
Arizona’s move comes amid a broader national debate over the role of digital assets in public finance. While several states have debated cryptocurrency-related legislation in recent years, Arizona is the first to explicitly authorize the creation of a BTC reserve.
The final decision now rests with Governor Hobbs, who will determine whether Arizona becomes the first state in the U.S. to formally include BTC in its fiscal strategy.
Join TechFlow official community to stay tuned
Telegram:https://t.me/TechFlowDaily
X (Twitter):https://x.com/TechFlowPost
X (Twitter) EN:https://x.com/BlockFlow_News
@CryptoSlate
