**Arizona’s Bitcoin Mining Legislation Advances to Governor’s Desk**
Arizona is on the brink of enacting a bill that would safeguard the rights of Bitcoin miners in the state. The Bitcoin Mining Rights Bill, known as HB 2342, passed the Arizona Senate on April 10 with a 17-12 vote and now awaits the signature of Governor Katie Hobbs. This bill prevents cities, towns, and counties from imposing zoning or usage restrictions on individuals using computational power or operating blockchain nodes from their homes.
Introduced in January by State Representative Teresa Martinez, the bill also encompasses AI workloads, cloud computing, and scientific research. Despite previous resistance from Governor Hobbs, who vetoed a related bill limiting local taxation of cryptocurrency mining, the new legislation moves forward amid Arizona’s growing interest in digital assets.
In parallel, Arizona is considering establishing a state-level crypto reserve. Two bills—SB1373 and SB1025—recently passed the House Rules Committee and are poised for a full floor vote. These bills propose using seized cryptocurrency and allowing up to 10% of the state’s treasury or retirement funds to be invested in Bitcoin, with provisions for lending to generate returns while minimizing financial risks.
However, the bills face uncertainty at the executive level, as Governor Hobbs has shown a pattern of vetoing a significant number of legislative proposals. Her actions in 2024 indicate a cautious approach to new regulations, particularly in the evolving area of cryptocurrency.
