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The core of HB2749: ownerless digital assets and exclusive reserve funds
SB1373 is also waiting for signing
Home web3.0 A article to learn about Arizona Governor Katie Hobbs signs cryptocurrency reserve law HB 2749

A article to learn about Arizona Governor Katie Hobbs signs cryptocurrency reserve law HB 2749

May 16, 2025 am 08:51 AM
Bitcoin cryptocurrency Virtual currency Stablecoin airdrop

A article to learn about Arizona Governor Katie Hobbs signs cryptocurrency reserve law HB 2749

Arizona Governor Katie Hobbs vetoed Senate Bill 1025 (SB1025) last weekend to allow state governments to invest 10% of public funds in virtual currencies, disappointing many supporters who are expecting Arizona to set a precedent in the cryptocurrency.

However, Governor Katie Hobbs signed the HB2749 Act on the 7th, officially including ownerless crypto assets in his property management framework and established the "Bitcoin and Digital Asset Reserve Fund", becoming the second state government in the United States to pass a similar strategic cryptocurrency reserve bill after New Hampshire.

Note: Just yesterday, New Hampshire approved its Strategic Bitcoin Reserves Act (HB302) in the same week

The core of HB2749: ownerless digital assets and exclusive reserve funds

According to the bill, if the owner of the right to digital assets fails to respond to relevant notices from the state government for three consecutive years, these assets, including cryptocurrencies, will be presumed to be "abandoned" and transferred to the specially established "Bitcoin and Digital Asset Reserve Fund"

Unlike the past practice that could immediately liquidate these assets as fiat currencies, Arizona’s new bill requires the transfer of these digital assets considered unowned to the Arizona Taxation Department in their original, native form, to preserve its potential value as cryptocurrency itself, rather than simply converting it into fiat or other assets.

  • If the legal owner fails to respond to the notice within three years, the digital assets will be deemed abandoned.

  • Once deemed to be abandoned, the holder must deliver the digital assets to the Tax Department in its original form.

  • A nationally qualified trustee has the right to pledge these assets to receive a reward or to receive an airdrop.

  • Any pledge rewards or empty investments will be deposited into new Bitcoin and digital assets, and the reserve fund is managed by the state Treasury Department and is subject to legislative appropriations.

For detailed provisions, please refer to the full text of the Arizona HB2749 Act.

SB1373 is also waiting for signing

In addition, Arizona itself has another similar Bitcoin-related bill, namely Senate Bill 1373 (SB1373), which is awaiting signing of Gov. Hobbs. Once passed, the bill will allow the state Treasury Secretary to invest up to 10% of the digital asset strategic reserve fund. Here is an overview of the bill: This bill establishes a digital asset strategic reserve fund for Arizona, allowing the state Treasury Secretary to deposit and manage digital assets seized by the state (including cryptocurrencies such as Bitcoin, stablecoins and non-fungible tokens). The fund will continue to allocate funds and is not subject to the standard appropriation invalidation rules. The state finance minister shall not invest more than 10% of the total amount of the fund in any fiscal year and may lend digital assets from the fund to generate additional returns provided that doing so does not increase financial risk.

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