Texas Moves Closer to Establishing a State-Level Bitcoin Reserve – Awaiting Governor Abbott’s Signature
Texas is on track to become the second state in the United States to officially establish a Bitcoin Reserve, after SB 21 passed the state House of Representatives overwhelmingly. Now, only Governor Greg Abbott’s signature is the final hurdle to the bill becoming law, and he has publicly expressed his support.
Bitcoin – From Record Markets to State Financial Strategy
As Bitcoin hits a new high of $109,000 and surpasses Google and Amazon in market capitalization, Texas is also marking a significant milestone as it moves closer to legalizing a state-level digital asset reserve.
SB 21 – a version of the bill inspired by the successful New Hampshire model – not only emphasizes the strategic role of Bitcoin, but also opens up the possibility of expanding the reserve to other digital assets if they achieve a market capitalization of over $500 billion continuously for 24 months. Currently, only Bitcoin meets this criterion.
The move shows growing support for cryptocurrencies
Although the cryptocurrency movement in the US has faced many obstacles, the new move from Texas shows that the legislative trend is leaning towards supporting financial innovation. Along with the unexpected success of the recent GENIUS Act, the US legal ecosystem is gradually creating a more solid foundation for cryptocurrencies.
Experts believe that, if signed into law, SB 21 will set an important precedent for other states to learn and implement similar Bitcoin reserve policies in the future.
Final decision still pending
However, approval from the governor is not a given. A similar bill in Arizona was vetoed by Governor Katie Hobbs, despite broad bipartisan support.
The current session of the Texas Senate ends on June 2, which is also when Governor Abbott has a deadline to make a final decision. If signed into law, Texas will officially join the ranks of pioneering localities in integrating Bitcoin into their public financial structures.