If enacted, this bill would amend current statutes by allowing public funds, specifically the State Treasurer and retirement systems, to invest up to 10 percent of the public monies they control in virtual currency holdings. This is a significant update to existing investment authority, which does not currently include provisions for virtual currencies. Additionally, if the U.S. Secretary of the Treasury establishes a strategic bitcoin reserve, public funds would be permitted to store their virtual currency holdings in a secure segregated account within that reserve.

The bill also introduces definitions for key terms such as "public fund," "retirement system," and "virtual currency," thereby clarifying the scope of the legislation. It designates the legislation as the "Arizona Strategic Bitcoin Reserve Act," and it becomes effective on the general effective date. Overall, these changes would modernize the investment strategies available to public funds in Arizona, allowing them to engage with emerging digital assets.