- Arizona bill adds XRP to official state digital asset reserve.
- XRP inclusion in Arizona’s reserve could set a national cryptocurrency precedent.
- SB1649 progresses, bringing Arizona closer to officially recognizing XRP.
Arizona is on the verge of a groundbreaking move that could pave the way for XRP to be officially included in the state’s Digital Assets Strategic Reserve Fund. According to the document shared by analyst Diana on X, Senate Bill 1649 (SB1649) recently passed the Senate Finance Committee with a 4-2 vote and explicitly names XRP as part of the reserve. This bill is now set to move forward to the Rules Committee, bringing it one step closer to becoming law.
The proposed Digital Assets Strategic Reserve Fund will consist of funds appropriated by the Arizona legislature and digital assets seized, confiscated, or surrendered to the state. Under the bill, the state treasurer will be responsible for managing the reserve, ensuring that digital assets, including XRP, are held securely either by a qualified custodian or in exchange-traded products issued by registered investment companies.
🚨BREAKING: ARIZONA ADVANCES BILL TO ADD XRP TO OFFICIAL STATE DIGITAL ASSET RESERVE 🇺🇸🔥
Arizona’s Digital Assets Strategic Reserve Fund bill (SB1649) just CLEARED the Senate Finance Committee in a 4–2 vote — and it explicitly includes $XRP in the RESERVE. 👀
The bill now… pic.twitter.com/2x8uVH6LXD
— Diana (@InvestWithD) February 17, 2026
Moreover, the bill grants the state treasurer the ability to invest the fund and even loan digital assets to generate returns, as long as this does not create significant financial risks. This marks a new approach to managing digital assets at the state level, with Arizona positioning itself as a leader in integrating cryptocurrency into formal government structures.
XRP’s Official Recognition in Arizona: A Game-Changer
The inclusion of XRP in the reserve is a pivotal moment for the cryptocurrency community, especially after its prolonged legal battle with the SEC ended last year. By officially naming XRP in the state’s reserve, Arizona could set a precedent for other states to follow, effectively legitimizing XRP as a recognized and valuable asset in the eyes of state governments.
In addition to XRP, the bill also covers other widely recognized digital assets such as Bitcoin (BTC), stablecoins, and nonfungible tokens (NFTs). The bill defines what qualifies as a “digital asset” and sets clear guidelines for determining the fair value of these assets, based on factors such as market capitalization, transaction value, and network security. This creates a more structured and predictable environment for investors, regulators, and cryptocurrency businesses alike.
What’s Next for Arizona’s Digital Asset Bill?
SB1649’s passage through the Senate Finance Committee is a crucial step toward its eventual approval. The bill is now scheduled to go before the Rules Committee for further review. If it continues its progress, Arizona could soon become the first state to officially recognize and manage digital assets like XRP in a state reserve fund.
This move could also inspire other states to explore similar initiatives, paving the way for broader mainstream adoption of cryptocurrency. For now, Arizona’s bold steps in cryptocurrency regulation are setting the stage for a new era of digital asset management in the U.S., with significant implications for the broader financial and digital asset sectors.
The growing interest in the bill highlights the increasing importance of integrating cryptocurrencies into the official financial frameworks of state governments across the country.
Also Read: 18.3 Million XRP in 3 Months – Franklin Templeton’s Report Sparks Attention
