Arizona has passed legislation establishing a Bitcoin reserve fund, marking the state’s commitment to incorporating digital assets into its financial structure. Governor Katie Hobbs vetoed a separate proposal allowing direct investment in Bitcoin for pension and treasury funds, opting instead for a passive approach focused on acquiring unclaimed assets like those through unclaimed digital wallets and staking rewards. This move follows New Hampshire’s lead, which has invested directly in Bitcoin reserves. Arizona’s new fund will leverage unclaimed assets and staking rewards to create returns for the state, while a provision ensures that any assets remaining unclaimed after three years are deposited into the fund.