In a groundbreaking move that could position Texas as a national leader in digital asset strategy, the Texas House Committee on Delivery of Government Efficiency has officially advanced Senate Bill 21 (SB 21) with a 9-4 vote on May 7. This sets the stage for a decisive floor vote, potentially putting the Lone Star State at the forefront of integrating Bitcoin into state-level financial reserves.
Originally introduced in January by Republican Senator Charles Schwertner as a Bitcoin-only proposal, SB 21 was recalibrated in February to broaden its scope. The bill now allows for investment in any digital asset boasting a minimum $500 billion market cap over the past 12 months — a threshold currently met solely by Bitcoin.
If enacted, the bill would empower the Texas comptroller to oversee a Strategic Bitcoin Reserve, allocating state funds into this pioneering asset class. Notably, this initiative cleared the Texas Senate on March 6 with a commanding 25-5 vote, underscoring the momentum behind the proposal.
But Texas isn’t moving in isolation. According to Bitcoin Laws, a key legislative tracker, 2024 has been a year of heightened crypto legislative activity nationwide. Just this March, Texas introduced HB 4258, proposing up to $250 million from the Economic Stabilization Fund be invested in Bitcoin and select cryptocurrencies. In parallel, SB 778 — filed in February — seeks to allow crypto-based tax payments and donations, while enforcing a minimum five-year holding period for any Bitcoin acquired by the state.
This surge in state-level Bitcoin engagement isn’t unique to Texas. Just one day before SB 21 advanced, Arizona’s Governor Katie Hobbs signed HB 2749, establishing a Bitcoin and Digital Assets Reserve Fund, intriguingly funded by unclaimed digital assets. On the same day, New Hampshire made history: Governor Kelly Ayotte signed HB 302, making it the first U.S. state to legally authorize public fund investment in Bitcoin, allowing up to 10% of the state’s general fund to flow into digital assets meeting the $500 billion market cap requirement — effectively, again, Bitcoin.
Yet while momentum is building in some corners, not every state is sprinting forward. As of today, 37 strategic Bitcoin reserve bills are under review across 18 U.S. states. Still, several proposals have been struck down — most recently in Florida (May 6), joining Wyoming, South Dakota, North Dakota, Pennsylvania, Montana, and Oklahoma, where similar bills failed to clear legislative hurdles.
Why does this matter?
Texas, with its deep energy reserves, robust mining infrastructure, and business-friendly policies, is uniquely positioned to become a Bitcoin powerhouse — not just in mining, but in state-level treasury innovation. Should SB 21 pass, it would set a critical precedent, signaling to global markets that U.S. states are no longer treating Bitcoin as mere speculation but as a strategic asset worthy of sovereign-level attention.
This is more than just legislative momentum. It’s a signal: Bitcoin is maturing into the financial bloodstream of governments. And Texas is positioning itself at the very tip of this emerging spear.