Texas Senate Unanimously Advances Bitcoin Reserve Bill

The Texas Senate has taken a significant step towards embracing cryptocurrencies, with Senate Bill 21 (SB-21) advancing to the Senate floor after a unanimous vote by the Banking Committee on Feb. 27. The bill, introduced by State Senator Charles Schwertner, aims to establish a strategic reserve for Bitcoin and other digital assets.

SB-21 grants the Texas Comptroller of Public Accounts the authority to acquire, sell, and trade investments that a prudent investor would consider. The bill's language emphasizes the potential of Bitcoin and other cryptocurrencies to serve as a hedge against inflation and economic volatility, thereby enhancing the financial security of Texas residents.

Texas is not alone in its exploration of Bitcoin strategic reserves. Several other US states, including Oklahoma, Arizona, and Utah, have pending bills to diversify their financial reserves and hedge against rising US dollar inflation. Oklahoma's BTC reserve bill recently passed its House Committee, while other states have rejected similar proposals.

The Texas strategic Bitcoin reserve legislation has evolved since its introduction in January 2025 as a Bitcoin-only bill. In February 2025, the bill was refiled to include other digital assets, following US President Donald Trump's Jan. 23 executive order directing a commission to study the feasibility of a "digital asset stockpile."

Analysts have weighed in on the significance of SB-21. Nexo analyst Iliya Kalchev told Cointelegraph that the Feb. 18 public hearing for SB-21 was symbolic and not a major BTC adoption or price catalyst. Kalchev emphasized that specific policies, such as the state of Texas actively acquiring BTC as part of its portfolio, would be necessary to generate a more substantial market response.

Pierre Rochard, a Bitcoin advocate and vice president of research at mining company Riot Platforms, testified at the hearing for SB-21, arguing for a BTC strategic reserve. Rochard highlighted the need for Texas to prepare for future economic downturns and fiscal uncertainty, citing Bitcoin's unique transparency and auditable nature as a compelling reason for its inclusion in the state's financial reserves.