Arizona moves closer to creating a $1 billion Bitcoin reserve

The Arizona House of Representatives passed two bills advancing plans for the state to establish a cryptocurrency reserve, potentially including Bitcoin (CRYPTO:BTC).

Senate Bill 1025 (SB1025) proposes amending state law to allow Arizona’s treasurer to invest up to 10% of state funds in Bitcoin or other digital assets.

The bill passed with 31 votes in favor and 25 opposed.

A related bill, SB1373, which would create a broader state-level digital asset reserve, passed with 37 votes in favor and 19 opposed.

State Representative Jeff Weninger explained that about 15 other states are considering similar legislation to enable treasurers to allocate a portion of funds to cryptocurrencies, primarily Bitcoin.

He noted that the investment would likely start as optional but could become more prominent as Bitcoin adoption grows.

The passage of these bills brings Arizona closer than any other U.S. state to formally adopting a strategic Bitcoin reserve.

Similar legislation in New Hampshire has passed its House and is expected to move to the Senate soon.

Governor Katie Hobbs previously expressed concerns about signing such bills without a bipartisan funding solution protecting healthcare for disabled Arizonans but may reconsider following recent legislative progress.

At the federal level, former President Donald Trump signed an executive order proposing a “Strategic Bitcoin Reserve” and “Digital Asset Stockpile.”

Wyoming Senator Cynthia Lummis has introduced legislation that would allow the U.S. government to hold over 1 million Bitcoin, partly sourced from seized assets.

Some lawmakers view this as an effort to codify Trump’s executive order into law.

At the time of reporting, the Bitcoin price was $94,941.33.