Texas doubles down on crypto with new $250 million Bitcoin reserve bill

Texas has introduced a second crypto reserve bill, marking another significant step toward integrating Bitcoin into its financial framework.

According to a document released on March 11, the proposed legislation, HB 4258, seeks to allocate up to $250 million from the state’s economic stabilization fund for Bitcoin and other digital assets.

This marks the second attempt by the state to establish a digital asset reserve, following the earlier SB 778, which recently secured bipartisan support in the Senate.

Unlike the previous proposal, HB 4258 explicitly caps investment and extends participation to municipalities and counties, allowing them to allocate up to $10 million to digital assets. If approved and signed into law, the bill would take effect on Sept. 1, 2025.

Texas’ push for a Bitcoin reserve aligns with broader trends across the US, where 21 states are exploring similar frameworks at different legislative stages. Some states have active proposals, while others are still conducting evaluations.

President of the Texas Blockchain Council, Lee Bratcher, highlighted the state’s strategic position for Bitcoin adoption. He pointed to the Texas Triangle—Houston (energy), Austin (tech), and Dallas (capital markets)—as a convergence of industries that makes Bitcoin integration particularly viable.

Texas’ first Bitcoin bill

As previously stated, SB 778 focuses on integrating crypto into the state’s financial system by enabling tax payments and donations in digital assets.

It also seeks to impose a five-year restriction on selling state-owned Bitcoin. With Senate approval secured, the bill awaits a decision in the Texas House, expected by May 24.

Meanwhile, support for the initiative has been strong, with Texas Lieutenant Governor Dan Patrick calling the establishment of a Bitcoin reserve a strategic move that could set an example for other states.

He emphasized Bitcoin’s decentralized nature and finite supply, describing it as a valuable asset for Texas’ financial future. Patrick added:

“President Trump has stated unequivocally that he intends to make the United States the cryptocurrency capital of the world. His visionary leadership on Bitcoin and digital assets has paved the way for rapid American innovation, and Texas is leading the way.”