Texas Moves Towards Cryptocurrency Reserve

Texas Governor Greg Abbott has expressed his support for a new bill approved by the state House of Representatives that aims to create a strategic cryptocurrency reserve.

On May 22, Abbott posted an update regarding Texas legislators’ efforts to establish Bitcoin (BTC) reserves. It’s noted that the decision to pass the bill, known as SB 21, now rests with Abbott, roughly three months after its introduction.

Since taking office, Abbott has described himself as a “supporter of cryptography” and suggested policy initiatives in 2021 to position Texas as the “crypto capital” by 2024. This move came in the wake of a small number of states that proposed strategic crypto preparedness after the 2024 federal elections.

Recently, New Hampshire Governor Kelly Ayott became the first to enact the Bitcoin Reserve Bill, while Arizona Governor Katie Hobbs approved legislation allowing states to claim ownership of unclaimed codes. However, some jurisdictions are hesitant, with about half of the states exploring the idea of Bitcoin reserves.

Federal Developments on Cryptocurrency Reserves

At the federal level, former President Donald Trump signed an Executive Order (EO) in March regarding “strategic Bitcoin Reserves” and a “digital asset stockpile.” As of May 23, this order had yet to be formalized by Congress.

As of March 11, the bill had been sent to the Senate Banking Committee, leaving uncertainty about whether the Chamber of Commerce would initiate a vote. The Senate might begin discussions on the bill aimed at regulating digital assets, with lawmakers hopeful for a vote by the May 26 anniversary.

In other news, analyst Adam Buck commented on Bitcoin’s price cycle, suggesting it could potentially “10x beginner” but also noted it might plunge below $10,000 again.