The Arizona State Senate has approved a bill that would create a Bitcoin and Digital Asset Reserve Fund for confiscated crypto assets.
Arizona Senate Approves Bitcoin Bill for Crypto Reserve Fund: All Eyes on House
The bill, HB 2324, known as the “Bitcoin Reserve Bill,” is advancing toward a final vote in the House of Representatives, having passed by a vote of 16-14.
The bill, which was first introduced in February and gained early support in both chambers, failed in a final vote in parliament last month. However, lawmakers brought it back to the agenda with “reconsideration” motions in both chambers.
State-Managed Reserve Fund for Confiscated Cryptos
If HB 2324 becomes law, it would create a management mechanism under the supervision of the Arizona State Treasury that would include options for crypto assets seized as a result of criminal investigations to be stored in state-approved wallets, sold on licensed crypto exchanges, or held in their local form depending on market conditions.
The bill also updates Arizona’s forfeiture laws to include digital assets and establishes the regulatory framework for asset safekeeping.
Several states across the US have begun to introduce similar legislation, in line with crypto regulation efforts that have accelerated since President Donald Trump’s return to power, with Arizona being one of the most active states on the issue.
Earlier this year, Governor Katie Hobbs signed Arizona’s first successful digital asset bill, HB 2749, which established a reserve fund for unowned digital assets. HB 2387 also introduced consumer protection regulations for crypto ATMs.
But Hobbs vetoed two more aggressive bills:
- SB 1025 called for 10% of state treasury and pension funds to be invested in crypto.
- SB 1373 aimed to establish a reserve fund for both confiscated and legislatively allocated cryptocurrencies.
Governor Hobbs opposed these proposals, stating that crypto investments were too risky, especially for public pension systems.
Next Step: Parliament Vote
HB 2324 now awaits a final vote in the House of Representatives. If approved, Arizona would be one of the few U.S. states where crypto assets are legally and regulated under state oversight. This development could further strengthen cryptocurrencies’ position in U.S. government structures.
*This is not investment advice.
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