Texas Joins Crypto Club With Government Bitcoin Fund

With this new law, Texas joins a group of US states that hold Bitcoin BTC $101,157.90 as part of their government-managed financial reserves.

The law, which passed the Texas House in May, allows the state to use Bitcoin as a safeguard against inflation and economic uncertainty. The state comptroller is responsible for managing the reserve and is authorized to buy, hold, or sell Bitcoin as necessary.

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Bitcoin can be added to the reserve through several methods, not just direct purchases. The law also permits Bitcoin to enter through forks, airdrops, or donations.

This gives the state different ways to grow its holdings. However, the law sets a strict requirement: a digital asset must have kept a market value of at least $500 billion over the past two years.

The law said the comptroller must work with a qualified custodian or liquidity provider. These partners are expected to follow well-established security practices to protect the funds.

An advisory committee will handle oversight of the reserve, but the comptroller will have the final authority. The law also requires the comptroller to publish a report every six months. These updates will include the size of the reserve, how assets were acquired, and how the fund is performing.

Meanwhile, the CLARITY Act recently passed two House committees and advances to a full vote. What did Representative French Hill, the bill’s sponsor, say? Read the full story.