Texas now stands as the third U.S. state to create a Bitcoin reserve —but marks the first to authorize a publicly funded, standalone reserve managed outside the state treasury . Governor Greg Abbott approved SB 21, enabling the Texas Comptroller to manage the fund, and HB 4488, which shields it from being swept into general revenue—even if no Bitcoin is acquired by next summer. The fund is structured with safeguards : only assets with average market caps above $500 billion qualify (right now only Bitcoin meets this bar), and a five-member expert advisory board is mandated. Texas Blockchain Council’s Lee Bratcher anticipates the initial investment could reach tens of millions , with precise amounts and timing set by professional managers in the Comptroller’s office. The initiative aligns with Texas’s growing role in the crypto space—home to significant mining operations and a progressive financial outlook. Supporters view Bitcoin as a long-term hedge against inflation and economic instability, whereas critics warn of its price volatility Texas’s move echoes earlier actions by Arizona and New Hampshire, but stands out by being publicly funded and legally insulated , marking a significant milestone in state-level crypto adoption.
