On Thursday, the Texas House of Representatives took a significant step toward integrating cryptocurrency into the state’s financial strategy by introducing a bill aimed at creating a strategic Bitcoin reserve.
The proposal was sponsored by Republican state Rep. Giovanni Capriglione legislation wants to allow the state to accept taxes, fees and donations in Bitcoin, with the intention of holding these assets for at least five years.
Texas Lawmaker Proposes Strategic Bitcoin Reserve
Capriglione announced the bill during an X Spaces event, highlighting the potential benefits of a strategic Bitcoin reserve in strengthening Texas’ fiscal stability and cementing its status as a leader in Bitcoin innovation.
“Probably the biggest enemy of our investments is inflation,” Capriglione said. “A strategic bitcoin reserve, investing in bitcoin, would be a win-win situation for the state.”
The legislation, titled “An Act Relating to the Establishment of a Bitcoin Reserve within the State Treasury of Texas and the Management of Cryptocurrencies by State Agencies,” reflects a broader trend of increasing institutional importance in the leading cryptocurrency on the market.
Currently, Texas has the highest concentration of BTC miners in the United States, uniquely positioning the state to leverage the industry’s supply. The original proposal does not include a strategy for direct Bitcoin purchases, but focuses on creating a framework for accepting and managing cryptocurrency.
Anticipating new regulatory frameworks
Expressing his ambition to make the bill comprehensive and adaptable, Capriglione said: “My goal is to make this bill as big and broad as possible. This first step is to allow it some choice and flexibility, but if I can get support from other lawmakers, we will make it even stronger.”
The push for a national strategic BTC reserve has gained momentum following the election of newly elected President Donald Trump, who has expressed pro-crypto sentiments in his campaign.
In addition to vocal support, President-elect Trump has already taken steps to support the growth of the digital assets industry, including appointing Paul Atkins to lead the U.S. Securities and Exchange Commission (SEC), a significant departure from Gary Gensler’s position on the industry.
Furthermore, the now 47th President of the United States has confirmed David Sacks, another pro-crypto member of his administration, as the White House’s new ‘Crypto Czar’, aiming to bridge the gap between the US Congress, regulators and the government to bridge. White House on crypto issues.
However, expectations surrounding the creation of such a Bitcoin are high to book in the US has contributed to a remarkable rally in BTC prices, which have risen by more than 45% in recent months, as investors speculate on the positive impact of new regulatory frameworks.
Dennis Porter, CEO and co-founder of the Satoshi Action Fund, marked the significance of the Texas initiative, which states:
Texas’ ‘Strategic Bitcoin Reserve’ legislation allows Bitcoin donations from Texans to the reserve. We have two Texans on our board and we aim to be the very first to donate Bitcoin to the Strategic Reserve in Texas. We encourage others to donate too!”
Porter also noted that at least ten other states are reportedly considering similar legislation, indicating a growing trend toward institutional adoption of cryptocurrency.
At the time of writing, the market’s leading cryptocurrency is trading at $99,850, registering a slight decline of 1.1% in the space of 24 hours.
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