Texas is taking another big step in the crypto space. On March 11, 2025, state officials introduced a new bill that would allow up to $250 million in investments in Bitcoin and other crypto assets. The bill, called “House Bill 4258,” aims to invest in digital assets from the state’s economic stability fund (Rainy Day Fund).
Second Attempt for a Bitcoin Reserve
This is Texas’ second major step toward creating a Bitcoin reserve. Previously introduced, Senate Bill 778 would allow the state to accept taxes and donations in cryptocurrency. However, that bill did not include a specific budget allocation for the state to invest in Bitcoin.
With the new bill, HB 4258, Texas plans to allocate a specific budget to digital assets for the first time. According to the bill:
The state Treasury Department will be able to purchase up to $250 million in Bitcoin or other crypto assets.
Municipalities and counties in Texas will be able to invest up to $10 million of their own budgets in Bitcoin and other digital assets.
The purchased Bitcoins must not be sold for at least five years, so that a long-term investment strategy can be followed.
If passed by the Texas House of Representatives, the bill will go into effect on September 1, 2025.
Why is the Bitcoin Reserve Bill Important?
This new bill represents a significant shift in Texas’ economic strategy. It goes beyond traditional reserve models and allows state funds to diversify into Bitcoin and other digital assets.
Supporters argue that Bitcoin is a hedge against inflation and will maintain its value in the long term. However, opponents state that Bitcoin and other crypto assets can be a risky investment for state funds due to their volatility and regulatory uncertainties.
Recent developments have further increased these concerns. In March 2025, President Trump imposed high tariffs on imports from Canada, Mexico and China, causing volatility in global markets.
Despite this, the Texas administration believes that Bitcoin will gain value in the long term. If the bill becomes law, low Bitcoin prices could create a buying opportunity for Texas, which could make the state economically stronger in the future.
Texas’ Bitcoin investment plan could be a historic milestone for the cryptocurrency market. If the bill becomes law, Texas will be one of the first states in the US to add Bitcoin to its official reserve assets. This development could also affect how other states and even national governments approach crypto investments.
The Texas House of Representatives is continuing to evaluate the bill, and a final decision is expected on May 24, 2025. If passed, Texas will be one of the pioneer states in the US to legalize crypto reserves, and this move could go down in history as an important step in the US’s digital economy policy.
Author: Besim Şen
