Arizona Passes HB2749, Establishing a Bitcoin Reserve Fund and Custody of Unclaimed Digital Assets for Staking and Airdrops.

May 7, 2025, can be considered a landmark date, as we see that Arizona became the first state where a Bitcoin Bill made it all the way through — becoming not just a proposal, but law.

Arizona has become the first state in the U.S. to introduce Bitcoin reserve and crypto custody legislation with the passage of HB2749.

The initiative, which was spear headed by House Commerce Committee Chairman Jeff Weninger and signed by Governor Katie Hobbs, establishes a Bitcoin reserve fund and custody of unclaimed digital assets for staking and airdrops.

The bill, which passed the state House with a vote of 58-0 and the Senate with a vote of 33-0, will see the state begin accepting Bitcoin in payment for taxes and fees by 2024. It also directs the state treasurer to create a Bitcoin reserve fund, which will be funded by unclaimed digital assets.

The legislation provides clear procedures for identifying and transferring digital assets, ultimately protecting property rights and setting the stage for a state-level reserve mechanism not only for Bitcoin but for other crypto as well.

Commenting on the initiative, Weninger said: "Digital assets aren't the future—they're the present. This law ensures Arizona doesn't leave value sitting on the table and puts us in a position to lead the country in how we secure, manage, and ultimately benefit from abandoned digital currency."

"It protects property rights, respects ownership, and gives the state tools to account for a new category of value in the economy."

May 7, 2025, can be considered a landmark date, as we see that Arizona became the first state where a Bitcoin Bill made it all the way through — becoming not just a proposal, but law. At the same time, it establishes a legally defined procedure for identifying and transferring digital assets, protecting property rights, and creating a state-level reserve mechanism not only for Bitcoin but for other crypto as well.

In more detail:

* The legislation creates a Bitcoin reserve fund that will be funded by unclaimed digital assets such as cryptocurrency, airdropped tokens, and other digital assets.

* The state treasurer is directed to use the Bitcoin reserve fund to purchase and hold Bitcoin on behalf of the state.

* The legislation also provides for the custody and management of unclaimed digital assets, which will be used to fund the Bitcoin reserve fund and other state programs.

* The legislation sets forth a process for identifying and returning unclaimed digital assets to their rightful owners.

* The legislation also permits the state to accept Bitcoin in payment for taxes and fees, beginning in 2024.

The initiative, which faced no opposition throughout the legislative session, began in January and marks a significant step in advancing crypto adoption at the state level.

As the first state to introduce legislation establishing a Bitcoin reserve and providing for the custody of unclaimed digital assets, Arizona is setting a precedent that could be followed by other states in the coming year. This development underscores the increasing integration of cryptocurrency into mainstream financial and legal frameworks.