Arizona is one signature away from becoming one of America’s most crypto-friendly states, after the Senate approved House Bill 2342, which protects the right to mine Bitcoin and operate blockchain nodes from home.

Inside the Bill: HB 2342 Explained

Passed by the Senate on April 10 (17–12 vote), HB 2342 bars municipalities from restricting the use of computational power for purposes like:

• Running Bitcoin mining equipment
  
• Operating blockchain nodes
  
• Conducting AI research or cloud processing
  

Introduced in January by Rep. Teresa Martinez, the bill broadly defines computational activities, ensuring protections go beyond crypto to include emerging tech applications.

Key Implications

Home crypto miners gain legal cover from local bans
AI and scientific computing projects get added safeguards
Lays groundwork for decentralized tech growth in Arizona

Not Arizona’s Only Pro-Crypto Effort

HB 2342 complements a broader legislative wave in the state, including bills that aim to:

• Let the state treasury invest in Bitcoin
  
• Utilize crypto lending for yield generation
  
• Deploy seized crypto assets as part of public fund portfolios
  

Together, these efforts could make Arizona the first U.S. state to hold crypto reserves in official government funds.

Hurdles Ahead: Will Hobbs Sign?

The final decision lies with Governor Katie Hobbs, known for her high veto rate (22%). In 2023, she rejected a proposal to prevent local taxation of mining operations, signaling caution toward expanding crypto rights too fast.

Yet optimism remains, as HB 2342 has bipartisan support and reflects broader national momentum around decentralized tech rights.