Blockchain Legal Resource

On June 20, 2025, Texas Governor Greg Abbott signed into law SB 21, an act establishing a Texas Strategic Bitcoin Reserve. The act is immediately in effect.

In adopting the new legislation, the Texas legislature found that bitcoin and other cryptocurrencies are assets with strategic potential for enhancing the state's financial resilience. Bitcoin and other cryptocurrencies can serve as a hedge against inflation and economic volatility. Establishment of a strategic bitcoin reserve serves the public purpose of providing enhanced financial security to Texas residents. The Texas Strategic Bitcoin Reserve will exist outside the state treasury under the custody of the Comptroller of Public Accounts.

The Comptroller is authorized to manage the Reserve, which will include bitcoin or any other cryptocurrency with an average market capitalization of at least $500 billion over the most recent 24-month period. The Reserve will be funded through legislative appropriations, open market purchases, forks, or airdrops to the state’s cryptocurrency addresses. The statute also establishes a five-person advisory committee to advise the Comptroller regarding administration and management of the Reserve. The Comptroller must publish a biennial report regarding the value of the fund and actions taken by the Comptroller to administer and manage the Reserve during the preceding state fiscal biennium.