Texas Approves State-Funded Bitcoin Reserve With SB21

Texas Governor Greg Abbott has signed Senate Invoice 21 (SB21), formally authorizing the creation of the Texas Strategic Bitcoin Reserve, a state-managed fund that may maintain Bitcoin as a part of the state’s long-term monetary property.

The newly established reserve operates independently of Texas’ normal treasury system and goals to strengthen the state’s monetary resilience whereas serving as a possible hedge in opposition to inflation, in keeping with the invoice textual content.

Moreover, solely property with a market capitalization exceeding $500 billion are eligible for inclusion, a threshold presently met solely by Bitcoin (BTC).

The fund might be administered by the Texas Comptroller of Public Accounts and guided by an advisory committee of three crypto funding professionals.

Associated Technique’s Michael Saylor raises Bitcoin forecast to $21M by 2046

Texas Bitcoin reserve can obtain airdrops and donations

Along with direct purchases, the reserve could develop by means of forks, airdrops, funding positive aspects, and even public crypto donations. A public report detailing the fund’s holdings and efficiency might be issued each two years.

SB21 follows Abbott’s signing of Home Invoice 4488, which protects the reserve from being absorbed into the state’s normal income fund, successfully insulating it from shifting price range priorities.

Texas turns into the third US state to approve a Bitcoin reserve legislation, becoming a member of Arizona and New Hampshire. Not like these states, nonetheless, Texas is the primary to commit public funds and set up a separate construction for Bitcoin holdings.

Associated: Bitcoin reserve, stablecoin rules large 2025 market catalysts, says VC

Public firms lead in Bitcoin adoption

A rising variety of publicly traded corporations are adopting Bitcoin as a treasury asset, following an method taken by Michael Saylor’s Technique.

On Friday, Bitcoin holding firm Nakamoto Holdings, based by US President Donald Trump’s crypto adviser, David Bailey, secured $51.5 million in recent capital by means of a personal placement in public fairness (PIPE) deal to purchase extra BTC.

Final week, Paris-listed expertise agency The Blockchain Group additionally expanded its Bitcoin reserves with the acquisition of 182 BTC for about $19.6 million, bringing its complete holdings to 1,653 BTC.