Texas lawmakers have reintroduced a bill to establish a state-run Bitcoin reserve, refining its structure to allow broader cryptocurrency investments and increased financial flexibility.
Senate Bill 21 (SB 21), filed on February 12 by state Senator Charles Schwertner, builds upon an earlier proposal while expanding investment opportunities and granting financial experts greater control over the reserve’s management.
If passed, Texas would become the first state to create a Strategic Bitcoin Reserve, a move Schwertner says will drive innovation, economic growth, and financial freedom. He also credited Lieutenant Governor Dan Patrick for recognizing the bill’s significance, designating it as one of the Senate’s top 40 priority bills.
The revised bill, however, positions the reserve as an active investment vehicle rather than a passive holding. It authorizes the state to buy, sell, and manage cryptocurrency assets, emphasizing financial security and economic stability. Additionally, SB 21 allows investments in other digital assets, provided they have maintained a market capitalization of at least $500 billion for the past year—a threshold currently met only by Bitcoin.
The key change in the proposals is transferring management authority from state legislators, as seen in SB 778, to financial experts in SB 21, which may simplify investment decision-making.
Industry experts have responded positively to the bill’s changes. Pierre Rochard, vice president of research at Riot Platforms, described SB 21 as “very bullish,” noting that it removes the annual $500 million cap on Bitcoin purchases. This means the legislature can allocate as much funding as necessary to strengthen the state’s crypto holdings.
Satoshi Action Fund founder Dennis Porter reaffirmed the bill’s importance, stating that the Lieutenant Governor’s office considers it a significant priority.
Notably, SB 21 replaces Senate Bill 778 (SB 778), which Schwertner initially introduced in January. The original legislation strictly limited the reserve to holding Bitcoin (BTC) as a strategic asset, prohibiting its use for other state operations unless explicitly approved.
If you want to read more news articles like this, visit DeFi Planet and follow us on Twitter, LinkedIn, Facebook, Instagram, and CoinMarketCap Community.
“Take control of your crypto portfolio with MARKETS PRO, DeFi Planet’s suite of analytics tools.”
