Texas goes all in on crypto with state funded Bitcoin reserve

Governor Greg Abbott signed Senate Bill 21 into law Sunday, making Texas the first U.S. state to allocate $10 million in public funds toward a standalone Bitcoin reserve. Known as the Texas Strategic Bitcoin Reserve, it will be independently managed by the State Comptroller and a five-member advisory committee including crypto investment experts.

The bill (SB 21) restricts investments to digital assets with a 24-month average market capitalization above $500 billion. By this criterion, only Bitcoin currently fits the threshold. The bill also allows the State to increase its BTC holdings,  not only through direct purchases but also via airdrops, forks, donations, and investment returns. A companion bill the HB 4488, will ensure that the funds are protected from being swept into the general treasury.