TLDR
- Texas moves ahead with groundbreaking cryptocurrency reserve bill after committee approval
- Bill expands beyond Bitcoin to include other digital assets following Trump’s directive
- Texas Comptroller would gain authority to manage state crypto investments
- More than 20 states currently developing similar reserve proposals
- Several states including Montana have rejected comparable legislation
The Texas Senate Banking Committee has taken a decisive step toward establishing a state-managed digital asset reserve. Committee members voted unanimously on February 27, 2025, to advance Senate Bill 21.
The legislation would create a framework for Texas to hold and manage cryptocurrencies as part of its state reserves. State Senator Charles Schwertner introduced the bill to the committee earlier this month.
Under the proposed law, the Texas Comptroller of Public Accounts would receive authority to buy, sell, and manage digital assets. This would mark a major change in how the state handles its financial reserves.
The bill underwent key revisions before the committee vote. Initially focused solely on Bitcoin, lawmakers expanded its scope to include other cryptocurrencies.
This change aligned with recent federal developments. President Donald Trump issued an executive order on January 23, 2025, calling for evaluation of a national digital asset reserve.
The Texas bill outlines specific benefits of cryptocurrency holdings. It highlights how digital assets could protect state funds from economic instability.
Riot Platforms executive Pierre Rochard provided expert testimony to the committee. He appeared at a public hearing on February 18, 2025, to discuss the bill’s merits.
Rochard focused on the technical aspects of cryptocurrency management. He explained how blockchain technology creates a clear record of all transactions.
The mining executive also addressed economic considerations. He urged Texas to prepare for future market challenges despite current prosperity.
State Crypto Initiatives
Support for cryptocurrency reserves extends beyond Texas borders. Nearly two dozen states are working on similar legislation in 2025.
Oklahoma lawmakers have made substantial progress with their version. Their bill recently cleared a crucial House committee hurdle.
Arizona’s approach allows for broader investment options. Their proposal would enable up to 10% of state funds to go into digital assets.
Utah legislators chose a more conservative path. Their bill caps potential cryptocurrency investments at 5% of state holdings.
Not every state embraces the cryptocurrency reserve concept. Montana recently voted down a similar proposal.
North Dakota and Wyoming also rejected digital asset bills. Lawmakers cited concerns about market volatility and investment risks.
The Texas bill now heads to the full Senate for consideration. Officials have not announced when the floor vote will take place.
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