- The revised Texas bill SB 21 lifts the $500 million cap on Bitcoin purchases, allowing broader investments in crypto assets.
- Cryptocurrencies must have a market value of $500 billion for a year to qualify for the state reserve under SB 21.
- Texas joins 17 states exploring Bitcoin and crypto reserves, potentially surpassing the U.S. government’s Bitcoin holdings.
The Texas state legislature plans to develop a Strategic Bitcoin Reserve through their refilled bill SB 21. The state maintains its dedication to cryptocurrency investment through this updated version of SB 778 which was initially presented in January 2025.
At its beginning, the bill exclusively targeted Bitcoin but the newer version expands its reach by permitting the acceptance of different cryptocurrencies that surpass specified market requirements.
Opening Up Investment Opportunities
The current legislation has eliminated the Bitcoin purchase restriction of $500 million which previously appeared in the prior bill draft. The modification provides Texas with improved control for regulating its digital asset financial operations. State legislators now possess the power to invest cryptocurrency funds toward the economy by purchasing various significant digital currencies past Bitcoin.
Cryptocurrency associations desiring the Texas Strategic Bitcoin Reserve must prove a market capitalization exceeding $500 billion throughout the entire year. The established criteria enable admission of only valuable digital assets with proven market stability to join the reserve fund. The decision may lead to allowing major cryptocurrencies to join Bitcoin as part of the Texas Strategic Bitcoin Reserve.
Vision for Texas as a Digital Asset Leader
Texas may take a leadership position in the digital asset business through SB 21 according to Senator Charles Schwertner who serves as a crucial supporter of the legislation.
Senator Charles Schwertner proposes that the Texas Strategic Bitcoin Reserve should be used as an example for other states to enhance digital financial innovation. The fund would be empowered to buy, sell, and manage crypto assets, contributing to the state’s economic resilience.
Texas is not alone in exploring the idea of a state-run crypto reserve. At least 17 states have introduced similar legislation aimed at incorporating Bitcoin and other digital currencies into state financial reserves. Among them, Utah, Oklahoma, Ohio, and Illinois have made significant strides in advancing their respective bills, with Utah securing a favorable vote.
