Texas House Committee approves Bitcoin Reserve Bill for full vote

On May 7, 2025, a Texas House committee voted 9-4 in favor of a bill that would establish a Bitcoin reserve for the state. With this endorsement, Senate Bill 21 now moves forward to the full Texas House for a final decision.

The Texas Bitcoin Reserve Bill, also known as Senate Bill 21 (SB 21), is a proposed law to create a reserve of Bitcoin and other major digital assets for Texas. If approved, the Texas Bitcoin Reserve will be managed by the state controller and four other experts in crypto and digital finance.

Essentially, lawmakers in Texas want to build up a store of cryptocurrencies that have a market capitalization of more than $500 billion to hedge against inflation and financial uncertainties. The reserve would be funded via government appropriations as well as voluntary donations from individuals or businesses.

The bill was passed by the Texas Senate in March 2025 with a 25–5 vote and is now being reviewed in the Texas House of Representatives. If the Texas House passes the bill and the governor signs it into law, the state will become the third to sign a crypto reserve in the US, behind New Hampshire and Arizona.

Crypto reserve in the US 

The story of Bitcoin and crypto reserves in the U.S. started with corporate experimentation before gradually advancing into state and national interest. 

It began in August 2020 when Strategy (previously MicroStrategy) became the first publicly traded U.S. company to adopt Bitcoin as a primary treasury asset after purchasing 21,454 BTC for $250 million. In February 2021, Tesla invested $1.5 billion in Bitcoin, capturing global attention.

Previously critical of cryptocurrencies, Donald Trump experienced a shift in his stance. During his 2024 presidential campaign in July, the then-president of the United States publicly supported cryptocurrencies and floated the idea of a national Bitcoin reserve. 

Shortly after, Senator Cynthia Lummis proposed the BITCOIN Act, aiming for the U.S. Treasury and Federal Reserve to acquire up to 5% of the global Bitcoin supply.

Upon his inauguration in January 2025, President Trump issued an executive order to establish a commission for creating a national digital asset reserve.

On the state level, Texas led the way in January 2025 when Senator Charles Schwertner introduced Senate Bill 778 to establish a Bitcoin reserve. The bill was reviewed and refiled in February as Senate Bill 21, expanding its scope to include other digital assets with a market cap of over $500 billion.

In March, lawmaker Ron Reynolds introduced a bill to cap the state’s comptroller bitcoin investment at $250 million. The bill also limits Texas counties’ and municipalities’ investment in cryptocurrencies to $10 million