Arizona Enacts Legislation Facilitating Cryptocurrency Investments (as Second State to Do So)
Hear ye, hear ye! Arizona's Bold Leap into the Crypto World
Arizona's governor, Katie Hobbs, has set a precedent by signing House Bill 2749, establishing a Bitcoin and digital asset reserve fund, making Arizona the second state in the U.S. to hop on the crypto bandwagon.
Unlike the previous bill that Hobbs vetoed, this legislation doesn't advocate for direct investment. Instead, it aims to manage unclaimed assets, airdrops, and staking rewards into a reserved fund.
Bitcoin Laws applauded Governor Hobbs for her willingness to enact pro-crypto legislation. This move is significant as SB 1373, a more substantial strategic reserve bill, awaits her signature or veto.
The legislation includes a few caveats. Qualified custodians can actively stake crypto assets to generate returns for Arizona. If a crypto asset remains inactive for three years, the state considers it abandoned, and it's prohibited from selling digital assets below market prices.
Representative Jeff Weninger, the bill's introducer, expressed gratitude to Dennis Porter, co-founder of Satoshi Action Fund, for his assistance in pushing the Bitcoin bills to the finish line.
In stark contrast to Arizona's approach, New Hampshire authorized direct investment of up to 5% of public funds into cryptocurrencies with a market cap exceeding $500 billion, currently only Bitcoin.
Just days ago, Florida's legislature abandoned two similar crypto investment bills. If Florida were to adopt a direct investment strategy like New Hampshire, it would deviate from Arizona's more conservative approach that prioritizes unclaimed assets.
Meanwhile, Texas has advanced its strategic Bitcoin reserve legislation by passing SB 21, giving the Texas Comptroller of Public Accounts the power to acquire, sell, and trade investments, including digital assets.
This news has sent the Bitcoin market soaring, with prices surging by 2.4%, nearly touching the $99,000 level, its highest since late February.
So, there you have it, folks! Arizona is dipping its toes into the crypto pool, carving out a unique path with its focus on unclaimed assets rather than direct investment, all while keeping an eagle eye on those volatile market swings. Stick around as we keep track of this fascinating crypto journey!
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Note: States' direct investment strategies may vary due to differences in legislation and regulatory considerations.
Sources:1. Arizona Gov. Katie Hobbs signs historic bill to create state crypto reserve2. AZ Law Allows for Unclaimed Cryptocurrency and Digital Assets to Be Put into a Reserve Fund3. After Vetoing Crypto Bill, Arizona Governor Signs Bill Allowing for State Crypto Reserve Fund4. Arizona to become second state with Bitcoin reserve: Report5. Arizona's Strategy: Unclaimed Assets and Risk Management
- Arizona's governor, Katie Hobbs, has signed House Bill 2749, establishing a Bitcoin and digital asset reserve fund, following which Arizona becomes the second state in the U.S. to manage unclaimed assets, airdrops, and staking rewards into a reserved fund.
- Unlike the previous bill that Hobbs vetoed, this legislation doesn't advocate for direct investment, but it lays down guidelines for managing these assets.
- Bitcoin Laws applauded Governor Hobbs for her pro-crypto legislation, praising her for setting a precedent.
- The legislation includes a few caveats, such as qualified custodians can actively stake crypto assets to generate returns for Arizona, and if a crypto asset remains inactive for three years, it is considered abandoned and can't be sold below market prices.
- Proponents of the crypto sector are keenly observing Arizona's approach, as SB 1373, a more substantial strategic reserve bill, awaits Hobbs' signature or veto.
- If Arizona were to adopt a direct investment strategy like New Hampshire, which recently authorized direct investment of up to 5% of public funds into cryptocurrencies with a market cap exceeding $500 billion, it would deviate from Arizona's more conservative approach.
- In comparison, Texas has advanced its strategic Bitcoin reserve legislation by passing SB 21, granting the Texas Comptroller of Public Accounts the power to acquire, sell, and trade investments, including digital assets.
- This bold move by Arizona has sent the Bitcoin market soaring, with prices surging by 2.4%, nearly touching the $99,000 level, its highest since late February, demonstrating the potential impact of states adopting crypto strategies.
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