Arizona is taking a bold step forward in cryptocurrency adoption by legally holding Bitcoin as native property within its state government. The state has taken a U.S. first by creating a state-managed Bitcoin Reserve Fund, setting the precedent for how other governments could manage and invest in crypto assets. This move makes Arizona the first state to implement such an innovative approach. Governor Katie Hobbs’s signing of House Bill 2749 on May 7, 2025, has paved the way for digital asset custody and utility, recognizing Bitcoin as legitimate property. This legislation will not only create a financial reserve but also serves as a model for other states to follow. The bill provides a framework for qualified custodians to stake these assets and collect rewards or airdrops, directly funding Arizona’s Bitcoin and Digital Assets Reserve Fund, which will support public education on cryptocurrencies. The initiative is endorsed by both state chambers with bipartisan backing and reflects Arizona’s ambition in the fintech industry.