tl;dr
Arizona Governor Katie Hobbs signed House Bill 2749, allowing the state to retain unclaimed digital assets in their original form rather than liquidating them. The law modernizes unclaimed property laws to include crypto assets, which are presumed abandoned after three years of inactivity. These ass...
Arizona Governor Katie Hobbs signed House Bill 2749 into law, allowing the state to retain unclaimed digital assets in their native form rather than liquidating them. This legislation modernizes Arizona’s unclaimed property laws by recognizing crypto assets as presumed abandoned after three years of inactivity. These assets must be transferred to the Department of Revenue, with any earnings such as staking rewards or airdrops deposited into a reserve fund for legislative allocation.
The bill, spearheaded by House Commerce Committee Chairman Jeff Weninger, aligns digital asset regulations with those governing other financial products like stocks. Weninger stated the law ensures Arizona captures value from abandoned digital currency and positions the state as a leader in managing such assets.
In contrast, Governor Hobbs vetoed a separate bill proposing a Strategic Bitcoin Reserve funded by seized state assets, citing fiduciary risks and volatility concerns. The vetoed bill was introduced by State Senator Wendy Rogers, who plans to reintroduce it in the future.
State-level crypto legislation is on the rise nationwide but faces significant hurdles. Florida, Oklahoma, South Dakota, Montana, North Dakota, Pennsylvania, and Wyoming all saw crypto reserve bills stall despite some progressing beyond committee stages.
Meanwhile, New Hampshire has made headway with the passage of HB 302, which allows the state treasurer to invest up to 5% of public funds in precious metals or digital assets like Bitcoin, provided these assets maintain a minimum average market capitalization of $500 billion. Governor Kelly Ayotte signed this bill into law, marking one of the few successful crypto investment legislations at the state level.
These developments highlight a growing but cautious approach by states toward integrating cryptocurrencies into public finance management, reflecting concerns over risk and volatility balanced with the desire to modernize investment portfolios.