Arizona lawmakers have revived discussions on House Bill 2324, which proposes the creation of a state-managed reserve fund for Bitcoin and other cryptocurrencies seized through criminal forfeiture.
Overview of House Bill 2324
House Bill 2324, which passed the Senate with a narrow 16-14 vote, is now set for a final vote in the House. This legislation aims to establish a reserve fund to manage crypto assets seized through forfeiture, allowing the Arizona government to invest in crypto assets or in ETFs that hold digital assets.
Asset Distribution Structure
Under the proposed asset distribution structure, the first $300,000 from sales of digital assets would go to the Anti-Racketeering Revolving Fund. Any amount above that would be divided, with 50% going to the Attorney General, 25% to the state general fund, and 25% to the new Bitcoin and Digital Assets Reserve Fund.
Cryptocurrency Legislation Landscape in the USA
The bill also modifies Arizona’s forfeiture laws to include procedures for safely securing lawfully confiscated crypto assets. Similar legislation has been proposed in various states following President Donald Trump's return to office, including in Texas where a similar bill is in its final stages. Currently, only New Hampshire has successfully completed the legislative process for establishing a Bitcoin reserve.
House Bill 2324 in Arizona reflects a wider trend in the acceptance of cryptocurrency legislation in the USA, emphasizing the growing recognition of digital assets within the framework of state law.
