Arizona is one step closer to becoming the first U.S. state to formally establish a strategic cryptocurrency reserve, as two major digital asset bills passed the House Rules Committee on March 24 and now move to the full floor for a vote in the state’s House of Representatives.
If enacted, the bills would allow the state to manage digital asset reserves using both confiscated assets from criminal cases and newly allocated public funds, including investments from the state treasury and retirement system.
Republicans currently hold a 33-27 majority in the Arizona House, giving both bills a solid chance of passing. However, the final decision may rest with Governor Katie Hobbs, a Democrat with a record of vetoing 22% of proposed legislation in 2024—the highest veto rate among all U.S. governors, according to Bitcoin Laws.
🇺🇸 State Reserve Race Update:
Arizona’s House Rules Committee passed both Bitcoin Reserve Bills (SB1373 and SB1025), ruling them “constitutional and in proper form.”
The bills have now passed their assigned committees, meaning they should be headed for a full floor vote. pic.twitter.com/suuxXCifP3
— Bitcoin Laws (@Bitcoin_Laws) March 24, 2025
Details of Arizona’s Two Strategic Crypto Bills
The two bills advancing are:
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SB 1373 – Strategic Digital Assets Reserve Bill
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SB 1025 – Arizona Strategic Bitcoin Reserve Act
SB 1373 aims to establish a state-managed reserve composed of digital assets seized through criminal proceedings, overseen by the Arizona state treasurer. Under the bill, the treasurer would be permitted to invest up to 10% of the reserve’s total value per fiscal year and could loan out assets from the fund to boost returns, so long as doing so does not increase financial risk.
SB 1025 focuses specifically on Bitcoin. It would allow both the state treasury and Arizona’s public retirement system to invest up to 10% of available funds into Bitcoin. Additionally, it proposes that if a federal Bitcoin reserve is ever established, Arizona’s Bitcoin holdings could be stored in a secure, segregated account within that national reserve.
Arizona Leads in State-Level Crypto Strategy, Other States Following
Arizona’s proactive legislative approach places it at the forefront of U.S. states exploring crypto reserves as part of public financial infrastructure.
Other states are also advancing similar proposals:
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On March 6, the Texas Senate passed its own Strategic Bitcoin Reserve Bill (SB-21) in a 25–5 vote. The bill still awaits a vote in the Texas House and the governor’s signature. A companion bill has also been introduced to cap the size of Texas’ Bitcoin reserve at $250 million.
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In Utah, a Bitcoin bill recently passed but had all references to a strategic reserve removed at the last minute.
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In Oklahoma, the House passed HB 1203, its own Bitcoin reserve bill, by a vote of 77–15 on March 25. That legislation now heads to the state Senate for consideration.
Growing Momentum for State-Level Bitcoin Integration
The recent flurry of legislative activity underscores a growing movement among U.S. states to integrate Bitcoin and digital assets into public financial systems—not only as a hedge or reserve, but also as a broader strategy to attract fintech innovation and align with emerging economic models.
If Arizona’s bills are passed and signed into law, the state could become the first in the nation to implement a dual reserve system: one for Bitcoin investments and another for digitally seized assets.
Such a development would further legitimize the role of Bitcoin in government portfolios and could set a precedent for fiscal innovation at the state level across the United States.
