Texas lawmakers voted 105–23 to advance a proposal for creating a state Bitcoin Reserve.

The bill requires one more vote in the House before heading to Governor Greg Abbott.

Governor Abbott has supported crypto policies before and is likely to sign the bill.

Texas has pushed closer to establishing a Bitcoin Reserve after its House approved Senate Bill 21 (SB 21) in its second reading. The vote stood at 105 in favor and 23 against, marking a strong bipartisan consensus. With only one more vote remaining, the bill is now on the verge of final approval, pending Governor Greg Abbott’s signature.

SB 21 aims to create a state-run Bitcoin Reserve managed by the Texas Comptroller of Public Accounts. The reserve would hold Bitcoin as a strategic asset, offering Texas a way to diversify its financial portfolio beyond traditional markets. The bill also permits investments in other digital assets, but only if they maintain a market cap of at least $500 billion over two years.

Representative Giovanni Capriglione, a Republican from Texas who sponsored the bill in the House, described it as a “forward-thinking measure.” Before the vote, he told lawmakers that the bill would help recognize digital assets “not as a trend but as a strategic opportunity” and could help “strengthen the state’s fiscal resilience.”

Texas Inches Closer to Bitcoin Reserve

SB 21’s structure draws from models already seen in states such as New Hampshire. New Hampshire was the first U.S. state to propose a Bitcoin reserve, followed by Arizona. If approved, Texas would be the third state to move forward with a government-supported reserve. 

The bill also puts strict guidelines in place to safeguard public funds. Only highly capitalized and time-tested cryptocurrencies are eligible. The goal is to ensure that only stable and reliable assets are included, minimizing the risk of market volatility affecting the state’s financial standing.

Funding for the reserve will come from legislative appropriations and existing state resources. The Comptroller’s office will have control over when to buy, hold, or sell Bitcoin, effectively managing the reserve on behalf of Texas taxpayers.

The bill is now set for its third reading in the Texas House. If passed, it will go to Governor Abbott, who has consistently backed digital asset initiatives. Supporters expect him to sign the bill without delay.

Global Momentum for Bitcoin Reserves

Market response has already reflected confidence in the bill. Bitcoin reached $106,000 following increased attention on Texas’s proposed plan, coming close to its previous all-time high. The wider crypto community has taken notice, as more states consider similar legislation.

National and international interest in government-held Bitcoin reserves has also spiked. Former President Donald Trump previously endorsed the idea, which encouraged the South Carolina GOP to call for public feedback. Utah, Kentucky, and Oklahoma are drafting their own versions of such bills, aiming to join what is rapidly becoming a larger trend across the country.

Beyond the U.S., countries are eyeing their own state-backed reserves. A Ukrainian lawmaker is working on a bill to create a Strategic Bitcoin Reserve, with Binance mentioned as a possible partner. Irish fighter Conor McGregor has also proposed creating an Irish Bitcoin Reserve and plans to meet with El Salvador’s President Nayib Bukele to discuss broader Bitcoin adoption.

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Filed under: Bitcoin - @ May 21, 2025 6:30 pm