Texas has handed Senate Bill 21, a measure establishing the Texas Strategic Bitcoin Reserve. This makes Texas the third U.S. state to undertake Bitcoin as a part of its state funding technique, following Arizona and New Hampshire. The invoice, formally titled the “Texas Strategic Bitcoin Reserve and Funding Act”, has cleared each legislative chambers and now heads to Governor Greg Abbott’s desk for remaining approval.
SB21 authorizes the creation of the Texas Strategic Bitcoin Reserve, a particular fund exterior the state treasury, which permits Texas to speculate instantly in Bitcoin and different accredited cryptocurrencies, in accordance with the laws. The measure offers the State Treasurer full authority over the reserve’s administration, together with buying, managing, staking, and probably liquidating digital property.
“The institution of a strategic bitcoin reserve serves the general public function of offering enhanced monetary safety to residents of this state,” declares the laws.
The State Treasurer will handle the fund underneath strict circumstances:
- Solely cryptocurrencies with a 12-month common market cap of at the very least $500 billion will be bought.
- Belongings have to be saved utilizing “chilly storage” know-how to stop unauthorized entry.
- Third-party companions, together with certified custodians and liquidity suppliers, could also be contracted for operations.
- Using staking, and derivatives is allowed if it advantages the reserve.
Funds can come from legislative appropriations, donations from Texas residents, and returns on investments. Whereas the reserve operates independently, the State Treasurer can quickly liquidate it for state money administration underneath restricted circumstances.
Governor Abbott has not but indicated whether or not he’ll signal the invoice, however his previous assist of Bitcoin suggests a good final result is probably going.
“Texas is getting concerned early on on this course of as a result of we see the way forward for what bitcoin and blockchain means to all the world,” stated Governor Abbott in an interview. “Texas desires to be the centerpiece of that. So we’re selling it, we’re advancing it.”
When New Hampshire handed their invoice on Could 6, 2025, CEO and Co-Founding father of Satoshi Motion Dennis Porter remarked that it was only the start and now we’re seeing that imaginative and prescient unfold.
“Satoshi Motion drafted the mannequin, New Hampshire engraved it into legislation, and now each treasurer nationwide can comply with that roadmap,” said Dennis Porter on X. “HB 302 proves you’ll be able to defend taxpayer cash, diversify reserves, and future-proof state treasuries—all whereas embracing essentially the most safe financial community on Earth. New Hampshire didn’t simply cross a invoice; it sparked a motion.”
