Arizona Governor Katie Hobbs has vetoed House Bill 2324, a proposal to create a state-managed 'Bitcoin and Digital Assets Reserve Fund' from seized crypto, citing concerns about disincentivizing local enforcement collaboration.
This marks the third time Governor Hobbs has vetoed similar bills, indicating Arizona's reluctance towards embracing cryptocurrencies.
House Bill 2324 aimed to manage seized cryptocurrencies by creating a reserve fund, with funds divided among the Attorney General's office and newly created reserve fund.
Governor Hobbs expressed worry about the bill potentially hindering local enforcement cooperation, highlighting the rocky journey of the bill in the legislature and the broader Democratic caution towards crypto investments.