Texas Joins Growing List of US States With Bitcoin Reserves
Texas has established a state-managed Bitcoin fund, the Strategic Bitcoin Reserve, following Governor Greg Abbott's signing of Senate Bill 21. This reserve aims to enhance financial resilience against inflation and economic volatility. The comptroller is authorized to manage investments in the reserve, which can acquire Bitcoin through direct purchases, forks, airdrops, or donations. Eligible digital assets must have an average market capitalization of at least $500 billion over 24 months, a threshold currently met only by Bitcoin. Security measures will follow institutional standards, requiring contracts with qualified custodians. An advisory committee will oversee operations, but the comptroller retains authority. The reserve mandates transparency through biannual public reports. Texas is the first U.S. state to commit public funds to Bitcoin with legal protections, ensuring the reserve cannot be dissolved by future legislatures. House Bill 4488 provides additional legal safeguards for the reserve's financial independence and longevity.
