Arizona Governor Katie Hobbs has vetoed two key cryptocurrency bills, citing market volatility as a primary reason for her decision. The vetoed proposals included Senate Bill 1373, which aimed to create a crypto reserve fund using seized assets, and Senate Bill 1024, which would have permitted state agencies to accept cryptocurrency payments. Governor Hobbs emphasized that current market instability hinders the suitability of integrating cryptocurrencies into the state’s general funds. However, she did sign House Bill 2749, which establishes a reserve fund for unclaimed crypto assets that can be utilized under legislative approval. This action suggests Governor Hobbs is open to limited, regulated crypto adoption but remains cautious about broader state-level integration.