TLDR
- Texas Passes Bitcoin Reserve Bill, Awaits Governor’s Nod
- Lone Star State Set to Hold Bitcoin as Strategic Reserve
- Texas Approves BTC Reserve Using Surplus State Funds
- Bitcoin Gets a Boost as Texas Embraces Digital Gold
- Texas Joins U.S. States Securing Bitcoin for Fiscal Resilience
Texas lawmakers have approved SB 21, establishing a strategic Bitcoin reserve for the state. The bill passed its final reading in the House with 101 votes in favor and 42 against. It now awaits Governor Greg Abbott’s signature to become law.
JUST IN: Texas Strategic Bitcoin Reserve bill SB21 officially PASSES and goes to Governors desk for final signature 🇺🇸 pic.twitter.com/8UMwxTHgg6
— Bitcoin Magazine (@BitcoinMagazine) May 21, 2025
The legislation permits the state comptroller to invest in Bitcoin using surplus General Revenue funds. However, the assets must be held within Texas or in a jurisdiction that treats Bitcoin as property. The law also mandates transparency through quarterly reporting of acquisition dates, unit counts, and total cost.
SB 21 targets cryptocurrencies with a market cap of over $500 billion. The bill does not set a spending limit but requires storage through a qualified custodian. Additionally, the comptroller must create procurement rules and publish them in the Texas Register before any Bitcoin purchase begins.
Bill Aims to Strengthen Fiscal Resilience and Innovation
The strategic Bitcoin reserve seeks to preserve purchasing power amid inflation and potential monetary disruptions. It signals the state’s effort to embrace emerging digital financial tools within its broader investment framework. The bill outlines clear custody and oversight mechanisms to safeguard state-held crypto assets.
Texas is positioning itself as a digital finance innovator by adopting this policy. The state’s $2.7 trillion economy ranks second in the U.S. and eighth globally. Lawmakers believe Bitcoin can play a role similar to gold in protecting public funds against macroeconomic shocks.
The reserve enables Texas to explore potential income sources from Bitcoin-related activities. These include transaction fees through the Lightning Network or staking in blockchain services. The comptroller must present related findings to the House Appropriations Committee by January 2026.
Texas Joins Growing List of States Exploring Bitcoin Reserves
If Governor Abbott signs the bill, Texas will become the third U.S. state to establish a strategic Bitcoin reserve. New Hampshire recently implemented a similar policy, while Arizona passed legislation to permit state-level crypto holdings. In contrast, due to volatility concerns, Florida and Montana have withdrawn.
Lawmakers across the country have introduced 47 Bitcoin reserve bills across 26 states. Meanwhile, 13 related proposals are under consideration at the federal level. The adoption trend shows increasing institutional interest in crypto despite market uncertainties.
Texas expects to start Bitcoin procurement after the comptroller sets regulations and secures storage agreements. This move reflects the state’s broader goal of strengthening digital infrastructure and fiscal autonomy. The new law could also affect Bitcoin’s market supply and long-term demand.
