TLDR
- Arizona’s Strategic Digital Assets Reserve Bill (SB 1373) passed the House Committee, now one vote away from reaching Governor Hobbs
- The bill would create a reserve fund of seized digital assets managed by the state treasurer
- Governor Hobbs has been vetoing bills and pledged to continue until disability funding is passed
- Another bill (SB 1025) specifically for Bitcoin reserves is also advancing in Arizona
- Texas, Utah, and New Hampshire are also pursuing Bitcoin reserve legislation
Arizona’s Strategic Digital Assets Reserve Bill (SB 1373) has cleared another hurdle, passing the House Committee of the Whole on April 17. The bill is now just one successful vote away from reaching Governor Katie Hobbs’ desk for final approval.
The legislation involves 60 House members weighing in before a third and final reading and a full floor vote. If passed, it would establish a Digital Assets Strategic Reserve Fund composed of digital assets seized through criminal proceedings.
This fund would be managed by the state treasurer, who would have permission to invest up to 10% of the fund’s total money in digital assets each fiscal year. The treasurer would also be allowed to loan the fund’s assets to increase returns, as long as this doesn’t raise financial risks.
However, the bill may face challenges even if it passes the House. Governor Hobbs has recently pledged to veto all bills until the legislature passes disability funding legislation.
Her track record shows she’s willing to follow through on such promises. Just this week, she vetoed 15 bills that reached her desk.
State Bitcoin Reserves Movement Gaining Momentum
SB 1373 isn’t the only crypto-related bill moving through Arizona’s legislature. The Arizona Strategic Bitcoin Reserve Act (SB 1025), which focuses specifically on Bitcoin rather than all digital assets, is also advancing.
SB 1025 would allow Arizona’s treasury and state retirement system to invest up to 10% of available funds into Bitcoin. This bill also passed Arizona’s House Committee of the Whole on April 1 and awaits a full floor vote.
Bitcoin Laws founder and Apollo CEO Julian Fahrer told Cointelegraph that he expects SB 1373 will pass the House. He noted it might merge with another crypto-related bill, such as SB 1062, which aims to expand the definition of legal tender to include cryptocurrencies.
ARIZONA Update:
Bitcoin Reserve Bill SB 1373 has been passed by the House Committee of the Whole (with a minor amendment).
The next step is Third Reading and final floor vote. pic.twitter.com/oOahjbZATR
— Bitcoin Laws (@Bitcoin_Laws) April 17, 2025
The Race Between States for Bitcoin Reserves
Arizona isn’t alone in pursuing crypto reserve legislation. Several states are taking steps toward establishing Bitcoin reserves at the state level.
Utah passed Bitcoin legislation on March 7, but removed the key provision establishing a Bitcoin reserve in the final reading. This weakened the impact of the bill.
The Texas Senate passed a Bitcoin reserve bill on March 6. New Hampshire’s House has also passed similar legislation recently.
While Arizona has made the most progress with its crypto reserve bills, Fahrer believes the Texas bill has the best chance of becoming law. He noted that it has encountered the “fewest explicit roadblocks” in its legislative journey.
As states compete to establish frameworks for digital asset reserves, Arizona appears to be leading the race. However, the governor’s current stance on vetoing bills could delay or derail the state’s crypto ambitions.
The full House vote on SB 1373 will determine whether Arizona continues its push to become a leader in state-level cryptocurrency adoption. The outcome could influence how other states approach similar legislation in the future.
