Arizona has advanced a bill from a Senate committee that aims to establish a Strategic Bitcoin Reserve. The legislation would allow up to 10% of public funds to be allocated to virtual currencies like Bitcoin if passed by the law.
If enacted, Arizona would become the first state to officially invest public funds in Bitcoin and other digital assets.
Arizona: One Step Closer to Strategic Bitcoin Reserve
The state of Arizona is on the verge of becoming the first in the nation to officially invest public funds in cryptocurrency. On January 27, the state Senate Finance Committee approved the “Strategic Bitcoin Reserve” bill (SB1025) in a 5-2 vote.
“I can confirm that Arizona has become the 1st state in the nation to pass out of committee a bill to create a ‘Strategic Bitcoin Reserve’,” Dennis Porter, CEO and co-founder of the Satoshi Action Fund, posted on X.
State senators Wendy Rogers and Jeff Weninger co-sponsored the bill.
“A public fund may invest not more than ten percent of the public monies under its control in virtual currency holdings. This act may be cited as the “Arizona Strategic Bitcoin Reserve 24 Act,” the bill read.
The bill now heads to the Senate Rules Committee for further review. If approved, it will then move to the Arizona House of Representatives for additional deliberation.
Given that the legislation clears both chambers, it could set a precedent for the future of public cryptocurrency investments as the first state to create an SBR.
This move follows an executive order signed by President Donald Trump last week. The order directs the establishment of a digital asset reserve.
Notably, if the Secretary of the Treasury creates a Strategic Bitcoin Reserve for government holdings, the bill also includes provisions for storing digital asset holdings in a secure, segregated account within this reserve.
Arizona’s decision to advance the Bitcoin reserve bill adds to the growing list of US states exploring cryptocurrency investments. Oklahoma, Texas, Massachusetts, and Wyoming are among the states that have introduced similar bills. Additionally, Utah has proposed legislation to invest public funds in digital assets.
Moreover, the news comes as Scott Bessent was confirmed as the US Treasury Secretary. The Senate confirmed Bessent, President Trump’s pick, with bipartisan support in a 68-29 vote.
Bessent is a hedge fund billionaire and a known advocate for digital assets. Ripple CEO Brad Garlinghouse took to X to celebrate Bessent’s joining Trump’s cabinet.
Garlinghouse expressed confidence in Bessent’s ability to lead with policies that will support the growth of technology and crypto markets.
“I’m confident he’ll enact common-sense economic policies, working with the Administration and Congress to grow US tech and crypto innovation,” Garlinghouse wrote on X.
Disclaimer
In adherence to the Trust Project guidelines, BeInCrypto is committed to unbiased, transparent reporting. This news article aims to provide accurate, timely information. However, readers are advised to verify facts independently and consult with a professional before making any decisions based on this content. Please note that our Terms and Conditions, Privacy Policy, and Disclaimers have been updated.
Be the first to comment