The measure, inspired by Trump’s national crypto reserve plan, positions Texas as a leader in digital asset investments.
Texas Senate Moves Forward with Crypto Reserve Bill
The Texas Senate has passed Senate Bill 21, a measure that would establish a state-controlled cryptocurrency reserve. Authored by Republican Sen. Charles Schwertner, the bill enables Texas to buy, hold, and manage Bitcoin and other digital assets as a hedge against inflation and economic volatility.
A Strategic Investment for Texas
Schwertner emphasized that the reserve would help Texas diversify its investment strategy while keeping pace with the evolving digital economy. “This bill will allow Texas to participate competitively in the financial sector and leverage the benefits of Bitcoin and other cryptocurrencies,” he stated. The reserve would be funded through legislative appropriations and private donations.
Oversight and Transparency Measures
To address concerns over cryptocurrency volatility, the bill mandates regular third-party audits. Findings will be reported to the state legislature every two years, ensuring accountability and transparency.
Political Debate Over Bitcoin’s Viability
The bill passed with a 25-5 vote but faced opposition from Democratic Sen. Roland Gutierrez, who criticized Bitcoin’s price fluctuations. “When the economy is down, Bitcoin is down,” Gutierrez argued. He also questioned the lack of direct government oversight, referring to crypto supporters as “techno bros” benefiting from state-backed investments.
Next Steps for Senate Bill 21
With Senate approval secured, the bill now moves to the Texas House for further consideration. If passed and signed into law, Texas would become the first U.S. state to create an official crypto reserve. The initiative aligns with Gov. Greg Abbott’s vision of making Texas a hub for digital assets, mirroring President Donald Trump’s proposal for a national crypto reserve.
Disclaimer:
The information provided on 13Desk is for informational purposes only and should not be considered financial advice. We strongly recommend conducting your own research and consulting with a qualified financial advisor before making any investment decisions. Investing in cryptocurrencies carries risks, and you should only invest what you can afford to lose. 13Desk is not responsible for any financial losses incurred from your investment activities.
