Arizona’s Bitcoin Mining Legislation Moves Forward to Governor for Approval

Arizona is making significant progress towards securing legal rights for crypto miners and blockchain node operators.

Recently, the state legislature approved
HB 2342
, legislation that safeguards individuals who mine Bitcoin or manage blockchain nodes at home from zoning and usage restrictions from local governments.

The bill was passed in the Arizona Senate with a narrow vote of 17–12 and is now on Governor Katie Hobbs’ desk for final approval.

Introduced in January by Rep. Teresa Martinez (R), HB 2342 modifies Arizona’s laws to position the use of computational power in residences as a matter of “statewide concern,” thereby removing the regulatory authority of local governments in this domain.

The bill broadly defines “computational power” to encompass blockchain activities such as mining and operating nodes, while also addressing artificial intelligence tasks, cloud computing, and high-performance scientific research conducted in home environments.

This legislative progress aligns with Arizona’s growing reputation as a crypto-friendly state, positioning it as a national leader in exploring sovereign-level cryptocurrency adoption.

Last month, legislators advanced two related proposals: the
Strategic Digital Assets Reserve Bill
(SB 1373) and the
Arizona Strategic Bitcoin Reserve Act
(SB 1025).

Upon becoming law, these bills would enable Arizona to establish state-managed digital asset reserves, which could include utilizing seized cryptocurrency and investing as much as 10% of the state treasury or retirement funds into Bitcoin.

Approximately 26 states have introduced similar Bitcoin reserve legislation, but Arizona is leading the way towards implementation, according to
data
from Bitcoin Laws’ reserve bill tracker.

Surrounding states are also moving swiftly. Texas
recently passed
its own Senate variant of a Bitcoin reserve bill (SB-21), while Oklahoma’s HB 1203
easily passed
in the House with a 77–15 vote and is pending a Senate decision.

At the same time, Kentucky has taken a different approach by
enacting HB 701 to officially safeguard self-custodied crypto and clarify that mining and staking do not constitute securities or money transmission.

Edited by Sebastian Sinclair