Key Takeaways
- The Texas Strategic Bitcoin Reserve Act establishes a state Bitcoin fund.
- Bitcoin donations and legislative appropriations would fund the reserve.
- The reserve aims to hedge inflation and bolster Texas’s financial resilience.
The Texas Legislature is considering the Texas Strategic Bitcoin Reserve Act, which would establish a special fund for the state to own and manage Bitcoin as a financial asset.
The reserve would be overseen by the state comptroller and safeguarded through secure technologies, including cold storage.
Key provisions & administration
- Fund Creation: The reserve would hold Bitcoin donated by individuals or purchased with legislative appropriations.
- Management and Security: The comptroller would adopt protocols for secure storage, regular audits, and potential transactions.
- Advisory Committee: A newly formed advisory committee would review and provide recommendations for the reserve’s operation, including public hearings.
Bitcoin could only be sold or transferred with explicit legislative approval or in emergency situations.
Purpose & legislative intent
The act underscores Bitcoin’s decentralized nature and finite supply as valuable assets for combating inflation and economic volatility.
Rep. Cody Maynard, who introduced the bill, noted that Bitcoin’s characteristics align with Texas’s focus on innovation and financial stability.
If passed, the law will take effect immediately or, if delayed, by September 1, 2025.
