Arizona Senate Approves HB 2324, Advancing Bitcoin Reserve Fund

On June 19, the Arizona Senate has passed HB 2324, a bill to establish a state‑level Bitcoin and Digital Asset Reserve Fund, expanding the state’s authority over seized digital assets. The bill, introduced by Republican Senator Jeff Weninger (LD 13), was approved in a narrow, bipartisan 16–14 vote following a successful motion to reconsider.

The final vote reflected a clear partisan divide: all 16 'Yes' votes came from Republican senators, while 13 of the 14 'No' votes were cast by Democrats. This split mirrors a wider national trend, with Republican lawmakers generally backing crypto innovation and Democrats emphasizing regulatory safeguards.

The bill had previously passed the House in early March and the Senate on May 6. However, the final House vote on May 7 failed 26-32-2. Following the Senate’s renewed approval on June 19, HB 2324 now returns to the House, where it must secure 33 of 60 votes to advance to Governor Katie Hobbs.

Governor Hobbs has taken a measured approach to crypto legislation. In early 2025, she vetoed SB 1025 and SB 1373, which proposed investing in Bitcoin, citing risk and volatility. See the details of both SB 1025 and SB 1373 as shown below. However, she signed HB 2749, which created a reserve fund from unclaimed digital assets without using taxpayer money.

HB 2324 Details Custody, Investment, and Allocation of Seized Digital Assets

HB 2324 significantly broadens Arizona’s asset forfeiture laws to include cryptocurrencies. It allows law enforcement to seize digital assets tied to criminal activity or deemed abandoned, such as those owned by deceased or deported individuals, after demonstrating due diligence in locating the rightful owner.

The bill establishes the Bitcoin & Digital Assets Reserve Fund, managed by the State Treasurer, to hold, stake, or invest seized crypto. The first $300,000 in forfeited assets will be allocated to the Anti-Racketeering Revolving Fund; any amount beyond that will be split: 50% to the same fund, 25% to the general fund, and 25% to the reserve fund. Assets may be securely stored in digital wallets or with licensed custodians, and any earnings, such as staking rewards, will be reinvested into the reserve.

HB 2324 complements the already-enacted HB 2749, which focuses on unclaimed digital assets, further solidifying Arizona’s leadership in state-level crypto treasury policy.

Ongoing State Reserve Race

According to the Bitcoin Laws, Arizona (AZ) currently leads all U.S. states with 13 active Bitcoin-related bills, highlighting its proactive stance on digital asset legislation. While the federal level has 15 bills across both chambers, Arizona stands out among individual states.

As of now, only two U.S. States, Arizona (AZ) and New Hampshire (NH) have successfully enacted Strategic Bitcoin Reserve (SBR) bills as shown in Bitcoin Laws. In the chart, (H) and (S) indicate whether the bill originated in the House or Senate, respectively. Arizona stands out with two separate bills originating in the House with one already enacted (HB 2749) and HB2324 is progressing through the final stages. Meanwhile, New Hampshire has completed its legislative process, joining Arizona as the only other state with an operational Bitcoin reserve framework.

Other states in the race include Texas (TX), Illinois (IL), Massachusetts (MA), Michigan (MI), Ohio (OH), Rhode Island (RI), and North Carolina (NC). While some of these bills have cleared early stages like committee reviews, most are still pending votes in one or both chambers. Texas's Senate-originated bill has passed both chambers but has yet to be enacted. Bills in Illinois, Massachusetts, Michigan, Ohio and Rhode Island have stalled at the committee level, while North Carolina shows the earliest stage of legislative initiation.

Arizona’s advancement of HB 2324, alongside the previously enacted HB 2749, reflects a broader trend among U.S. states exploring the integration of digital assets into public finance frameworks. By addressing both unclaimed and seized crypto assets, Arizona has taken measurable steps toward establishing a structured, state-level reserve fund. As similar legislation progresses in other states, Arizona’s approach may serve as a reference point for how digital asset management can be formalized within existing government systems. The outcome of HB 2324’s final House vote will further clarify the state’s role in shaping emerging crypto policy at the subnational level.