According to a proposed bill in the US state of Texas, crypto exchanges intending to do business in Texas will be required to maintain sufficient reserves to meet all obligations to their customers.
The document has been approved by the local House of Representatives and the state Senate and must now be considered by the governor.
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The amendments are being made to the Texas Finance Code and affect digital asset providers that serve more than 500 clients in the state and have at least $10M in funds.
They are expected to be prohibited from mixing user deposits with any other funds, equity or "other property," as well as using them for any purpose other than customer transactions.
The bill also requires exchanges to maintain sufficient reserves and report to the local regulator. Companies that fail to comply with these requirements could lose their licenses.