Texas is stepping up its game in the crypto sector, with plans to acquire up to $500 million in bitcoin (BTC) annually. The report signals a bold move by the state to integrate crypto assets into its financial strategy.
Following the United States President Donald Trump’s administration to explore the crypto space, two state bills pushed to propose a strategic Bitcoin reserve (SBR), one filed by state Rep. Giovanni Capriglione, R-Southlake, and the other by Senator Charles Schwertner, R-Georgetown, seeking to create SBR, which allows corporations and individuals to donate or utilize BTC as a method of payment.
Bitcoin Reserve For Emergency Situations
Schwertner explained that from a senator’s view, it is crucial to send a message that the state supports financial solvency and stewardship at the federal level.
If the bill is passed, the state will not need to purchase bitcoin using taxpayer funds. The report further noted that the bill would create reserves for emergency cases, government philanthropic expenses, and several discretionary expenditures of the legislature and comptroller.
Further reinforcing its crypto-friendly stance, the state’s leadership has also sought to promote blockchain technology as an industry for economic growth.
Commenting on the latest move, founder and president of Texas Blockchain Council, Lee Bratcher, said:
“The beauty of a Texas strategic Bitcoin reserve (through this bill) is primarily driven by donations, and there’s really no risks to the Texas Taxpayers. It’s only a net positive.”
However, the president of the blockchain council spotted significant differences, including the minimum holding periods and whether the state would purchase BTC.
The latest development comes as Trump ordered the creation of a crypto task force to explore new regulations. As such, at least eight states, including Texas, are exploring holding bitcoin as an asset reserve.
Utah Wants a Bitcoin Reserve
Like Texas, other states are interested in the apex cryptocurrency and other crypto assets. A recent report confirmed that a Utah House committee passed a bill allowing the state to invest some public funds in crypto. The measure is now heading to the House for a vote. The proposed bill would grant the state’s treasurer the power to direct up to 5% of specific public funds toward purchasing “qualifying digital assets,” including those with a market cap exceeding $500 billion.
Aside from the U.S., other regions also plan to have the asset as a reserve. In December 2024, a Russian lawmaker proposed creating a national Bitcoin reserve to strengthen Russia’s financial stability amid ongoing geopolitical tensions and international sanctions.