Texas lawmakers approved the law on May 21, establishing a state-level strategic Bitcoin (BTC) reserve after a 101-42 House vote. According to the live stream of the house.
According to Bitcoin law, the SB 21 bill must be approved again in the Senate, with an additional amendment from the House of Representatives. The Senate approved previous iterations of the bill with a 25-5 vote on March 5th.
Following the Senate vote, the law is sent to Gov. Greg Abbott’s desk for his final approval before it becomes law.
Once SB 21 reaches the desk, the governor has 20 days to sign or refuse. If the governor does not take action, the bill will become law without signing the first business day thereafter.
Bitcoin Reserve
The proposal allows state directors to acquire Bitcoin using surplus general revenue, subject to reporting rules that reflect what is applied to gold bullion held in Texas bullion depositories.
Rep. Giovanni Caprion, one of the bill’s main sponsors, told his colleagues during a floor discussion before the tally.
“Today is a pivotal moment to secure Texas leadership in the digital age, along with the passage of a strategic Bitcoin reserve. Now, we embrace modern assets with traditional wealth, but our promise for the future.”
He added that Bitcoin Reserve not only strengthens Texas’ financial sovereignty, but also positions the nation as a leading region for the evolution of global finance.
If approved by the governor, Texas will become the third state in the US, following Arizona and New Hampshire, which aims to direct public funds to Bitcoin as part of the strategic reserve framework.
The US will only begin purchasing Bitcoin after the Secretary has published procurement guidelines in the Texas Register and secured a storage contract that meets the requirements for the location of the law.
Legislative Route
The Senate I cleared SB 21 on March 6th. Senator Charles Schwartner, author of the bill, argued that by assigning bitcoin a slice of available cash in Texas to Bitcoin, purchasing power can be protected during a financial shock.
Under the text that has advanced to governor, the Secretary must disclose the acquisition date, number of units and total cost base on a quarterly basis.
The law does not impose a limit on which the dollar is excluded. Still, it requires that you hold a qualified entity or Bitcoin within the state of Texas within the United States jurisdiction that recognizes it as property.
The bill also directs the Secretary to study potential revenue streams associated with network participation, including state fee lightning response payment rails.
These findings are by the House Budget Committee by January 2026 and will set up a review prior to the 89th Congress.
Editor’s Note: An article updated to 21:27 GMT makes it clear that the Senate must vote again following the House amendment of the bill.