Texas project to buy Bitcoin exceeds Congress
Texas, the second largest state in the United States, has taken a key step towards the creation of its Bitcoin strategic reserve (BTC). The SB 21 bill was approved in the second reading by the House of Representatives, with 105 votes in favor and 23 against, which reflects a solid bipartisan support.
The bill proposes the creation of a state strategic treasury of cryptoactive, being Bitcoin for the moment possible. It seeks to strengthen the financial resilience of the State. The management of the reserve would be in charge of the Comptroller of Public Accounts, which will be empowered to acquire, administer and guard these assets, as well as accept donations of both the public and private sector.
In the southern state, so that a project like SB 21 becomes law, must go through several stages both in the Senate and in the House of Representatives. This process includes multiple readings and votes. If there are differences between the versions approved by each camera, they must be resolved before the initiative is sent to the governor for its signature or veto.
After overcoming the second reading, The proposal must still obtain the final approval in the Chamber. If so, it will be sent to the desk of Governor Greg Abbott for its signature or veto. In addition, in the case of SB 21, as an amendment (modification) was introduced, any difference with the version of the Senate must be reconciled.
The modification raised the eligibility standard for cryptocurrencies that can be included in the reserve: instead of requiring a market capitalization of at least USD 500 billion for 12 consecutive months as the initial proposal said, it now requires maintaining that average for 24 months.
The only cryptoactive that exceeds such capitalization is Bitcoinwith a value of more than USD 2 billion. The one that follows in size is Ether (ETH), the Ethereum cryptocurrency, with USD 300 billion, which does not reach the minimum rod established by the bill to be included in the reserve.
To guarantee security, it is proposed to allow the use of cold storage and the hiring of custodians that are considered qualified. In addition, an Advisory Committee composed of experts in Cryptactive Investment, responsible for providing guidance on the management of the reserve.
As Cryptonotics reported, the first reading of the state Senate of this project, which is called Texas Strategic Reserve and Investment Law, was approved in March with 25 votes in favor and 5 against.
With the approval of the second reading, the Texas Legislature is ready for the third reading and final vote of the project. The treatment of the same must conclude before June 2, 2025deadline to become law or be disapproved.
What is the scenario in other US states?
Texas is looking to position itself as the third state of the US (BTC)following the steps of New Hampshire and Arizona.
New Hampshire opened this trend at the beginning of May with the approval of the HB 302 project, which authorizes the state treasure to invest up to 5% of public funds in precious and digital active metals, provided they have a market capitalization greater than USD 500 billion.
In the case of Arizona, Governor Katie Hobbs approved Law HB 2749, which establishes the creation of a Bitcoin (BTC) and cryptoactive reserve financed with funds considered abandoned by the State after three years of inactivity. Although the measure does not contemplate direct investment in cryptocurrencies, it seeks to give state use to these assets.
In this context, Regulatory changes have also emerged in favor of the use of this kind of assets in the American power. For its part, in Oregon the SB 167 initiative was approved, which modifies the State Uniform Commercial Code (UCC) of the State to recognize digital assets as valid support in financial transactions.
Oregon’s initiative implies that in this jurisdiction it is now legal to use Bitcoin as guarantee when someone asks for a loan or signs a commercial contract. That is, if a person or company needs financing, it can offer its cryptocurrencies as a guarantee, in the same way that it would be done with a property or vehicle.
The creation of a Bitcoin National Reserve in the United States, which was made this year President Donald Trump with cryptoactive that the government had seized of criminal cases, has motivated this scenario.
The proposals that have failed
It should be noted that not all US jurisdictions have shown the same enthusiasm. On the contrary, several similar projects have faced significant obstacles and have even been directly rejected in their respective legislatures. Wyoming, Montana and Arizona are examples of states where attempts to establish BTC reserves failed to prosper.
In Wyoming, congressman Jacob Lee Wasserburger promoted a bill that proposed to assign 3% of the State Mineral Fund for Bitcoin investment. However, the initiative found resistance mainly by the Treasurer office, which expressed concerns about the volatility inherent in cryptoactives. Wasserburger attributed this failure to an educational barrier that limited the understanding of many legislators on the subject.
In Montana, the proposal to create a Bitcoin reserve and similar digital assets was also slowed down, this time by misunderstandings and fears regarding its implementation and risks. Congressman Curtis Schomer highlighted the need to overcome resistance through structured education and collaboration with experts, insisting that the integration of cryptocurrencies into state finances is a necessary strategy to diversify and protect the local economy against inflation.
Likewise, in Arizona, although the HB 2749 project was approved, the governor vetoed the proposals SB 1025 and SB 1373, claiming that digital currencies have a high speculative component that could put the state finances at risk. Unlike HB 2749, these two initiatives did authorize Arizona’s treasurer to invest in Bitcoin.
Despite this, Texas advances firmly in the legislative process for the creation of its Bitcoin strategic reserve, as the approval of the key instance has demonstrated today.
