Texas Governor Greg Abbott has signed Senate Bill 21 (SB21), officially authorizing the creation of the Texas Strategic Bitcoin Reserve, a state-managed fund that will hold Bitcoin as part of the states long-term financial assets.The newly established reserve operates independently of Texas general treasury system and aims to strengthen the states financial resilience while serving as a potential hedge against inflation, according to the bill text.Furthermore, only assets with a market capitalization exceeding $500 billion are eligible for inclusion, a threshold currently met only by Bitcoin (BTC).The fund will be administered by the Texas Comptroller of Public Accounts and guided by an advisory committee of three crypto investment professionals.Governor Greg Abbott signs bill SB 21.
Source: Texas GovRelated Strategys Michael Saylor raises Bitcoin forecast to $21M by 2046Texas Bitcoin reserve can receive airdrops and donationsIn addition to direct purchases, the reserve may grow through forks, airdrops, investment gains, or even public crypto donations.
A public report detailing the funds holdings and performance will be issued every two years.SB21 follows Abbotts signing of House Bill 4488, which protects the reserve from being absorbed into the states general revenue fund, effectively insulating it from shifting budget priorities.Texas becomes the third US state to approve a Bitcoin reserve law, joining Arizona and New Hampshire.
Unlike those states, however, Texas is the first to commit public funds and establish a separate structure for Bitcoin holdings.Related: Bitcoin reserve, stablecoin regulations big 2025 market catalysts, says VCPublic companies lead in Bitcoin adoptionA rising number of publicly traded firms are adopting Bitcoin as a treasury asset, following an approach taken by Michael Saylors Strategy.On Friday, Bitcoin holding company Nakamoto Holdings, founded by US President Donald Trumps crypto adviser, David Bailey, secured $51.5 million in fresh capital through a private placement in public equity (PIPE) deal to buy more BTC.Last week, Paris-listed technology firm The Blockchain Group also expanded its Bitcoin reserves with the purchase of 182 BTC for about $19.6 million, bringing its total holdings to 1,653 BTC.Over the past month alone, organizations haveadded Bitcoin to their treasuries, according to data from BitcoinTreasuries.NET, signaling continued interest in BTC among public companies.Magazine: History suggests Bitcoin taps $330K, crypto ETF odds hit 90%: Hodlers Digest, June 15 21