Texas Senator Charles Schwertner has refiled a strategic Bitcoin reserve invoice below the brand new designation “SB 21,” eradicating the earlier annual buying cap of $500 million and paving the way in which for considerably bigger state-level investments in Bitcoin (BTC). The refiled laws additionally broadens its attain to incorporate different crypto property that meet a specified market capitalization threshold.
Texas’ Bitcoin Reserve Invoice Is ‘Very Bullish’
The most recent model of the invoice, introduced on February 12, replaces Schwertner’s earlier proposal, SB 778, which allowed Texas to purchase and maintain BTC strictly as a strategic asset. SB 21, against this, permits the state to actively purchase, promote, and handle crypto property as an funding car. Crucially, it allows investments in different digital property which have maintained a market capitalization of a minimum of $500 billion over the previous twelve months—although at present solely Bitcoin qualifies.
In a public assertion made on X, Senator Schwertner expressed his gratitude to Lieutenant Governor Dan Patrick for putting SB 21 among the many Senate’s high 40 precedence payments for 2025: “Thanks to Lt. Governor Dan Patrick for designating my invoice to ascertain the Texas Strategic Bitcoin Reserve as one of many Senate’s high 40 precedence payments. SB 21 would make our state the primary to ascertain a Strategic Bitcoin Reserve & drive innovation, development, & monetary freedom!”
The unique laws, SB 778, had imposed a $500 million annual restrict on Bitcoin purchases and had extra restrictive oversight and safety necessities. With SB 21, these limits have been eliminated, and there’s no longer a strict cap on how a lot the legislature can allocate for digital asset acquisitions. Observers be aware that whereas the funding mandate is broader, SB 21 leaves extra management to monetary specialists fairly than state lawmakers straight, as was the case with SB 778.
Pierre Rochard, Vice President of Analysis at Riot Platforms (NASDAQ: RIOT), additionally took to X to reward SB 21’s potential: “NEW: the brand new legislative textual content for the Texas Strategic Bitcoin Reserve, SB 21, may be very bullish! It removes the annual shopping for restrict of $500 million, the legislature can acceptable as a lot because it needs to save lots of BTC.”
The transfer towards establishing a state-controlled Bitcoin reserve has garnered vital consideration amongst Texas politicians and crypto advocates. Lieutenant Governor Dan Patrick beforehand introduced the measure can be a high-priority merchandise, and Schwertner’s reintroduction of the invoice confirms the legislature’s dedication to exploring cryptocurrency as a part of the state’s fiscal technique.
Dennis Porter, CEO and founding father of the Satoshi Act Fund, emphasised the significance of the invoice: “MASSIVE: A invoice to create a ‘Strategic Bitcoin Reserve’ in Texas has been refiled by Dr Schwertner. I’ve been informed by the Lt. Governor’s workplace a number of instances that this invoice is a serious precedence.”
Texas is one among 19 US states at present evaluating laws round crypto property. Arizona and Utah have superior comparable payments past Home committee ranges, whereas North Dakota has rejected laws relating to crypto investments. In the meantime, North Carolina lately proposed a measure to allow the state to spend money on Bitcoin exchange-traded merchandise.
SB 21’s development and potential adoption may additional place Texas on the forefront of cryptocurrency innovation and funding. By eradicating the $500 million cap and widening funding capabilities, the Lone Star State seems poised to turn into the primary US state to carry a strong Bitcoin reserve—probably making a big assertion in regards to the function of digital property in long-term public finance technique.
At press time, BTC traded at $96,145.
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