tl;dr
Texas Senate Bill 21 (SB 21), which aims to create a state-level Bitcoin Reserve, has passed its second reading in the Texas House with strong bipartisan support (105-23). The bill, requiring one more vote and Governor Greg Abbott's signature to become law, incorporates elements from other states' B...
Texas Senate Bill 21 (SB 21), aimed at establishing a state-level Bitcoin Reserve including altcoins with a $500 billion market cap sustained over 24 months, has passed its second reading in the Texas House with strong bipartisan support (105-23) and now awaits a final vote and Governor Greg Abbott’s signature to become law.
The bill incorporates elements from other states’ Bitcoin Reserve efforts, notably New Hampshire’s, allowing the inclusion of altcoins meeting the specified market cap criteria for two years. The Texas legislative session ends on June 2, setting a deadline for SB 21’s final passage.
Governor Abbott, a known Bitcoin advocate, increases the likelihood of the bill’s success. However, past examples from states like Arizona and Florida reveal that legislative approval does not guarantee effective implementation, highlighting the unpredictable nature of cryptocurrency legislation.
If enacted, Texas would join a select group of states with a formal Bitcoin Reserve, demonstrating strong political backing for cryptocurrency initiatives. The bill’s passage reflects growing state-level interest in digital asset reserves following endorsements such as former President Trump’s support for similar concepts.
SB 21 also features an amendment extending the required duration for an asset’s market cap qualification from 12 to 24 months, making entry into the Reserve more stringent. This careful approach aims to safeguard the Reserve’s integrity while expanding asset diversity beyond Bitcoin.
Despite optimism around the bill’s bipartisan support and gubernatorial backing, stakeholders are cautious given the mixed success of similar proposals elsewhere in the U.S. The cryptocurrency industry’s political support remains robust, and Texas’ move signals a significant step in broader mainstream adoption and institutional acceptance of digital assets.