Texas Governor Greg Abbott has officially enacted Senate Bill 21 (SB21), launching the Texas Strategic Bitcoin Reserve—making Texas the first U.S. state to allocate public funds for holding Bitcoin.
Unlike similar initiatives in Arizona and New Hampshire, Texas has introduced a distinct structure to manage its BTC holdings. The newly established fund will operate independently of the state’s general treasury and is designed to strengthen financial stability while serving as a hedge against inflation.
As outlined in the legislation, only digital assets with a market capitalization exceeding $500 billion are eligible—currently, that includes only Bitcoin, which is trading at $101,252. The Texas Comptroller of Public Accounts, who will be in charge of the reserve, will receive strategic advice from a three-member crypto advisory group.
Growth of the fund may occur not only through direct BTC purchases but also via airdrops, blockchain forks, returns on investment, and crypto donations. Performance data will be released in a public report every two years.
This legislation follows the earlier passage of House Bill 4488, which ensures the fund remains insulated from being absorbed into the broader state budget.
On a broader scale, major firms are expanding their Bitcoin positions. Nakamoto Holdings, headed by Trump’s crypto advisor David Bailey, recently secured $51.5 million to acquire more BTC, while France’s The Blockchain Group added 182 BTC to its balance sheet, bringing its total to 1,653 BTC.
As institutional adoption accelerates, Texas’ bold move into Bitcoin-backed finance could serve as a catalyst for other states. With its firm stance, the Lone Star State is making a powerful statement—and the world is paying attention.
