Texas Governor Greg Abbott officially approved Senate Bill 21 (SB21) on 20 June, establishing the Texas Strategic Bitcoin Reserve, a state-managed fund to hold Bitcoin as part of its long-term financial strategy.
The reserve, which operates independently of the Texas general treasury, is designed to improve financial resilience and act as a potential hedge against inflation.
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Only assets with a market capitalization of more than $500 billion are eligible, a requirement that Bitcoin currently meets.
Managed by the Texas Comptroller of Public Accounts and advised by a panel of three cryptocurrency experts, the fund can grow through direct purchases, forks, airdrops, or even public donations. Transparency will be ensured through biennial public reports.