Texas has increased its Strategic Bitcoin Reserve by an additional $5 million, as outlined in Senate Bill 21. The acquisition elevates the state’s overall bitcoin assets to $10 million. Texas stands out as the sole U.S. state that has both purchased and holds bitcoin on its balance sheet. SB 21, introduced by Rep. Giovanni Capriglione and backed in the Senate by Sen. Charles Schwertner, officially set up a bitcoin reserve within the Texas treasury and laid out a legal structure for state entities to hold, manage, and secure digital assets. In a recent press release about SB 21, Lt. Gov. Dan Patrick remarked, “Creating the Texas Bitcoin Reserve is a bold step for other states to follow.” The legislation, enacted in June 2025, empowers the state to acquire, hold, and oversee bitcoin while adhering to specified risk management protocols. The Strategic Bitcoin Reserve highlights Texas’ recognition of bitcoin as a credible reserve asset, positioned alongside cash, bonds, and gold in the state’s treasury structure.
The legislation integrates bitcoin directly into Texas’ established capital framework, moving beyond a limited pilot program. The framework establishes definitive guidelines for custody, reporting, and oversight, maintaining a concentrated emphasis on bitcoin instead of a broader array of more volatile digital assets. In a clear declaration, Rep. Capriglione expressed, “I’m excited to see Acting Comptroller Kelly Hancock and the Texas State Treasury moving quickly to implement the vision laid out in SB 21 passed by Chairman Schwertner and I last session.” He stated, “By acting now, the state is demonstrating exactly the kind of forward thinking stewardship taxpayers expect.” This proactive strategy enables Texas to seize long-term value and strengthens our position as a leader in innovative, responsible investment policy. “Texas isn’t waiting on the future; we’re actively constructing it.” Texas’ decision distinguishes itself from the approaches taken by other states exploring crypto policy. While certain states have considered the option of accepting cryptocurrency payments or making indirect investments with pension funds, Texas stands out by explicitly purchasing and holding bitcoin on its balance sheet.
Sen. Schwertner remarked, “In the age of profligate spending, deficits, and debt, it is wise to invest in alternative investments.” Texas has taken a significant step by establishing a sovereign state-funded Strategic Bitcoin Reserve. The timing is significant for Texas. Bitcoin surged to new heights earlier in 2025, only to retract to lower levels, aligning with the state’s second IBIT acquisition. The latest acquisition took place at a bitcoin price of $86,937.30, as confirmed by a statement from the Texas Comptroller’s office. Texas is solidifying its status as a global center for bitcoin mining, accounting for a notable portion of the worldwide hash rate. The state’s strong connections to energy production and large-scale grid infrastructure have established a feedback loop involving bitcoin mining, power markets, and economic growth. Maintaining bitcoin on the balance sheet strengthens Texas’ fiscal approach, aligning it with an industry that is already deeply integrated into its economy.
The legislation establishes distinct parameters for the program and positions the bitcoin reserve as an auxiliary element within the state’s overall treasury assets. The second $5 million IBIT acquisition arrives amid a surge of innovation and capital throughout Texas. In the last two years, Texas has emerged as a significant center for artificial intelligence, digital assets, and extensive infrastructure, bolstered by clear regulations and plentiful energy resources. Google’s $40 billion investment in an AI data center in West Texas, coupled with Coinbase’s decision to reincorporate in the state and Crypto.com’s establishment of its North American headquarters in Dallas, highlights a significant trend in the growth strategies of technology companies. The expansion of capital markets is mirrored in the state’s increasing bitcoin reserve, showcasing a strategic alignment with its developing economic foundation. Texas’ $10 million bitcoin allocation may seem modest in absolute terms, yet its symbolic significance is substantial. NBC has reported that the total allocation accounts for roughly 0.0004% of the state’s overall budget. While federal regulators are still in discussions about digital assets, Texas is forging ahead with its policies, capital initiatives, and institutional implementations. This latest acquisition by the state indicates a definitive intention. Bitcoin production has expanded beyond Texas. It is now integrated into its treasury strategy.