The state of Texas is making history by becoming one of the first states in the US to establish a strategic Bitcoin reserve. The legislation, known as SB 21, was approved by Texas lawmakers on May 21 with a 101-42 House vote. This bill now needs to be approved again in the Senate with added amendments from the House before it can be sent to Governor Greg Abbott for final approval.
If Governor Abbott signs the bill into law, Texas will join Arizona and New Hampshire as states that have directed public funds into Bitcoin as part of a strategic reserve framework. The proposal allows the state comptroller to acquire Bitcoin using surplus General Revenue, subject to reporting rules similar to those applied to gold bullion held in the Texas Bullion Depository.
Congressman Giovanni Capriglione, one of the primary sponsors of the bill, emphasized the importance of establishing a Bitcoin reserve for Texas. He stated that this move not only strengthens the state’s fiscal sovereignty but also positions Texas as a forward-thinking region prepared for the evolution of global finance.
Under the legislation, the comptroller must disclose acquisition dates, unit counts, and aggregate cost basis each quarter. There is no dollar-denominated cap on Bitcoin holdings, but they must be custodied with a qualified entity inside Texas or within a US jurisdiction that recognizes Bitcoin as property.
The bill also instructs the comptroller to study potential revenue streams tied to network participation, including Lightning-enabled payment rails for state fees. These findings are due to the House Appropriations Committee by January 2026, setting up a review ahead of the 89th Legislature.
If the Senate approves the bill with the House amendments, Governor Abbott will have 20 days to sign or veto it. If he takes no action, the bill will become law without a signature on the first business day thereafter. This historic move by Texas signifies a significant step towards embracing digital assets and securing the state’s financial future in the digital age.