Arizona Becomes Second US State to Establish Bitcoin Reserve Fund With Unclaimed Digital Assets

Highlights:

• Arizona becomes the second state to approve Bitcoin reserve law after New Hampshire.
• New law helps Arizona manage unclaimed digital assets and create a reserve fund.
• Texas and North Carolina lead in exploring state-level crypto reserve legislation, according to Bitcoin Laws.

Arizona is now the second U.S. state to approve a Bitcoin reserve law, shortly after New Hampshire. On May 7, Governor Katie Hobbs signed House Bill 2749, allowing the state to hold unclaimed cryptocurrency and create a Bitcoin (BTC) Reserve Fund. The fund will not rely on taxpayer dollars or state funding.

Arizona Update:

HB 2749 has been signed into law, technically creating AZ's first crypto reserve.

It doesn't allow investment, but moves unclaimed assets, airdrops, and staking rewards into a reserve.

IMPORTANT: Shows Gov. Hobbs is willing to enact pro-crypto legislation pic.twitter.com/BeTRdD8GlD

— Bitcoin Laws (@Bitcoin_Laws) May 8, 2025

Arizona Sets New Rules for Handling Abandoned Crypto and Builds Reserve Fund

Under the new rule, digital assets will be seen as abandoned if there’s no activity or contact from the owner for three years—similar to how unclaimed stocks are handled. Once that happens, the assets must be handed over to the Department of Revenue in their original digital form. The state can use these assets to earn staking rewards or collect airdrops, which will go into a Bitcoin and Digital Asset Reserve Fund. 

“This law ensures Arizona doesn’t leave value sitting on the table and puts us in a position to lead the country in how we secure, manage, and ultimately benefit from abandoned digital currency,” the bill’s sponsor, Jeff Weninger, said in a statement. The bill also blocks the state from selling digital assets for less than the current market price. Any sales must happen through trusted exchanges or fair methods for tokens that are hard to sell.

This measure is different from a well-known crypto plan that was recently vetoed. State Senator Wendy Rogers proposed a Strategic Bitcoin Reserve using seized state assets. Governor Hobbs vetoed the bill on May 2, saying it was too volatile and risky. In her letter, Governor Hobbs shared that retirement funds might not be the right place for trying new ideas like virtual currency. Senator Rogers said she plans to bring the bill back in the next session.

JUST IN: ARIZONA Governor Katie Hobbs has VETOED the State's Strategic Bitcoin Reserve Bill.

"Arizonan's retirement funds are not the place for the state to try untested investments like virtual currency." pic.twitter.com/0Yhded9f7B

— Fiat Archive (@fiatarchive) May 3, 2025

More States Push Forward with Strategic Bitcoin Reserves

Arizona’s House Bill 2749 takes a softer approach compared to New Hampshire’s new Bitcoin law, House Bill 302, which was signed just a day earlier. New Hampshire’s law lets the state treasurer invest up to 5% of public money in digital assets worth over $500 billion. Right now, only Bitcoin meets that mark, so the state can directly buy and hold it as part of its financial reserves.

Besides Arizona and New Hampshire, several other states are actively exploring the idea of strategic crypto reserves, with North Carolina and Texas currently at the forefront, according to data from Bitcoin Laws. Texas has advanced its Strategic Bitcoin Reserve Bill (SB 21), which passed the Senate and awaits a floor vote.

This advancement highlights the growing interest and support for digital asset initiatives at the state level. “Texas Bitcoin Reserve should be one vote away. TX legislature adjourns on 6/2, so we should know within ~3 weeks at the latest,” founder of Bitcoin Laws, Julian Fahrer highlighted.

Texas Bitcoin Reserve should be one vote away.

TX legislature adjourns on 6/2, so we should should know within ~3 weeks at the latest. https://t.co/iytSSNrWmo

— Julian Fahrer (@Julian__Fahrer) May 8, 2025