Bill HB 2324, allowing Arizona to create a reserve fund for managing seized digital assets, has passed a significant approval stage.
Approval of the Bill
Bill HB 2324 was approved by the Arizona Senate with a narrow vote of 16-14 on Thursday. This marks a significant step forward after it previously failed in the House last month.
Objectives of the Reserve Fund
HB 2324 would authorize the State Treasurer to establish a 'Bitcoin and Digital Assets Reserve Fund' to store, invest, and manage cryptocurrencies seized through criminal asset forfeiture. The fund is also permitted to hold positions in digital asset ETFs.
Impact and Background
The bill's progress comes after amendments were made in the Senate, prompting its return to the House for further consideration. If passed, Arizona would become one of the first U.S. states to formally structure a reserve tied to seized digital assets.
Bill HB 2324 reflects a growing recognition of the need for infrastructure to handle digital assets securely and transparently, which is increasingly relevant as crypto seizures rise in law enforcement actions.
