Arizona may become the first state to establish a bitcoin reserve in the United States

Arizona is close to becoming the first American state to create a bitcoin reserve, as the state’s parliament approved on April 22 the draft law 1025, officially known as the “Bitcoin Strategic Reserve Law for Arizona”, with a small majority of 31-25-4. This law aims to treat Bitcoin as a strategic investment asset.

Besides, the 1373 Bill on the same day was passed by a majority of 37-19-4, which means the approval of 37 members and the objection of 19 and 4 from voting, which suggests the establishment of the “Strategic Digital Asset Reserve Fund” to support digital asset management in a wider way, and both projects have previously passed the Senate on February 27, and they are now pending the signing of the ruling Katie Hobbes for the final approval.

The draft law allows 1025 for the treasury to invest by up to 10% in Bitcoin and other assets, according to MP Jeff Winnger, and indicated that this trend may start as a future option, but it sets the basis for greater transformations towards digital currencies.

However, this step is facing challenges, as the Governor Katie Hobbes confirmed on April 17 that it will use the veto against any bill unless a two -party financing plan is presented to protect health care for persons with disabilities in Arizona, and with the passage of new legislation on April 24, this may indicate a change in the political position, which increases the possibility of the two draft laws to become legally.

And if the law is signed, Arizona will outperform other states such as New Hampshire, which has made a draft of a similar law, and experts, such as Matthew Siegel from Vaneck, expect that the passage of about 20 similar drafts at the state level increases the demand for bitcoin worth 23 billion dollars, which reshapes government treasury strategies.

Despite the increasing interest in bitcoin reserves at the state level, the market is still conservative on federal procedures, the possibility of establishing a federal bitcoin reserves during the first 100 days of the mandate of former President Trump to only 2%. However, Bitcoin continues to make gains, and the currency is traded at the time of the report’s writing recently at 95,442.53 dollars, an increase of 0.43% over the past 24 hours.