The Arizona Legislature approved a pair of bills Monday that could pave the way to create the country\u2019s first state Bitcoin reserve.<\/p>\n
The fate of the bills, which mimic President Donald Trump\u2019s moves<\/a> on the national level<\/a>, is now in the hands of Democratic Gov. Katie Hobbs.\u00a0<\/p>\n The pair<\/a> of bills<\/a>, both led by Republicans and passed largely along partisan lines through the House and the Senate, would allow the state to invest up to 10% of its public funds in digital assets like bitcoin. According to a 2023 audit<\/a>, Arizona holds more than $30 billion in state-managed assets.\u00a0\u00a0<\/p>\n If Hobbs signs them into law, Arizona will become the first state to have its own cryptocurrency reserve. If Hobbs uses her veto power, the bills are dead.\u00a0<\/p>\n A spokesperson declined to comment on how she plans to proceed.\u00a0<\/p>\n Republican state Sen. Wendy Rogers, who sponsored one of the pieces of legislation, said it\u2019s in Hobbs\u2019 best interest to sign the legislation. \u201cCrypto and bitcoin have a huge following nationwide and in Arizona. They are wildly popular with the youth and independents,\u201d Rogers said, adding: \u201cI certainly hope she signs it, because she can take credit and it will make her look good.\u201d<\/p>\n Trump announced a \u201cstrategic crypto reserve\u201d<\/a> in March, but the announcement bothered some cryptocurrency supporters<\/a> after he posted on his social media platform<\/a> that the reserve will include lesser-known cryptocurrencies besides bitcoin, which are more prone to volatility.\u00a0<\/p>\n Barrett Marson, a Republican political consultant based in Phoenix, said GOP members of the Arizona Legislature are taking their cues from Trump. \u201cArizona Republicans are nothing if not attuned to what Trump is doing and always finding a way to replicate that here in the state,\u201d Marson said.\u00a0<\/p>\n Marson, who said he isn\u2019t sure whether Hobbs will sign the bills or veto them, said he believes crypto\u2019s mercurial nature is likely to be a consideration. \u201cGov. Hobbs will undoubtedly consider how volatile bitcoin can be when she decides whether to sign or veto this effort,\u201d he said.\u00a0<\/p>\n But Rogers isn\u2019t concerned. \u201cI do not have any concerns about the volatility of bitcoin simply because if you zoom out on all of the charts, it always increases in value,\u201d she said, before she argued that bitcoin is a \u201chedge against inflation.\u201d\u00a0<\/p>\n \u201cI can\u2019t speak for the other cryptocurrencies, as those need to be analyzed on an individual basis,\u201d she said.\u00a0<\/p>\n<\/div>\n
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