Arizona Senate committee approves strategic Bitcoin reserve invoice

Key Takeaways

Arizona’s Senate Finance Committee authorised a invoice permitting public funds to put money into Bitcoin.
The invoice permits funding of as much as 10% of public funds in digital currencies like Bitcoin.

Arizona lawmakers have superior a invoice permitting public funds to put money into Bitcoin and different digital belongings, with the state Senate Finance Committee approving the measure in a 5-2 vote on January 27.

Co-sponsored by Wendy Rogers and Jeff Weninger, the proposed laws, often known as SB1025 or “Arizona Strategic Bitcoin Reserve Act,” permits the state to take a position as much as 10% of public funds, together with these held by the state treasurer and retirement techniques, in digital currencies like Bitcoin.

The invoice additionally consists of provisions for storing digital asset holdings in a safe segregated account inside a possible federal Strategic Bitcoin Reserve if the Secretary of the Treasury establishes a strategic Bitcoin reserve for presidency holdings.

The US Senate on Monday additionally confirmed Scott Bessent as Treasury Secretary on a vote of 68 to 29, with bipartisan assist. As a supporter of Trump’s financial insurance policies, Bessent opposes a central financial institution digital forex and is seen as pro-Bitcoin.

Following its passage by way of the Finance Committee, Arizona’s Bitcoin reserve invoice now strikes to the Senate Guidelines Committee, which can set parameters for flooring debate and amendments. If authorised by the complete Senate, the measure will proceed to the Home of Representatives.

In line with Dennis Porter, CEO and co-founder of the Satoshi Motion Fund, Arizona is the primary state to have a invoice particularly targeted on making a Bitcoin reserve go by way of a legislative committee.

If this invoice turns into regulation, Arizona could be the primary state to formally make investments public funds in Bitcoin.

As of Jan. 27, eleven states have launched their respective Bitcoin reserve payments, based on Porter. He famous in a separate publish that at the least 15 states, and probably 16, are introducing Bitcoin reserve payments.

I can verify that at the least 15 states will introduce ‘Strategic Bitcoin Reserve’ laws. Possibly even 16.

As a reminder, solely 3 months in the past this quantity was zero.

— Dennis Porter (@Dennis_Porter_) January 26, 2025