tl;dr
The Texas legislature is considering establishing a Bitcoin strategic reserve through a proposed bill, H.B. No. 1598, introduced by Texas State Representative Giovanni Capriglione. The bill aims to build up a supply of Bitcoin for the state, with the funds held for at least five years without being ...
The Texas legislature is considering establishing a Bitcoin strategic reserve through a proposed bill, H.B. No. 1598, introduced by Texas State Representative Giovanni Capriglione. The bill aims to build up a supply of Bitcoin for the state, with the funds held for at least five years without being sold. Texas citizens will also be allowed to make donations to the fund. The cryptocurrency, held in cold storage, will not be used for transactions outside of the state or abroad. This move aligns with Texas's commitment to fostering innovation in digital assets and providing financial security for its citizens. The idea of a strategic Bitcoin reserve has gained traction, with increased interest since the election, as constituents show a growing concern for this technology. The Texas legislature will consider adopting a Bitcoin strategic reserve following the introduction of a bill Thursday to establish such a program, amid ongoing efforts to do the same on a national level in the United States. The proposed bill, H.B. No. 1598, was introduced by Texas State Representative Giovanni Capriglione. The bill adds that the cryptocurrency—held in cold storage—will not be used to make transactions outside of the state or abroad. "A strategic Bitcoin reserve aligns with Texas’s commitment to fostering innovation in digital assets and providing Texans with enhanced financial security," the text of the bill reads. According to Decrypt, Capriglione mentioned that the idea of a strategic Bitcoin reserve had been in consideration for some time and highlighted that "probably the biggest enemy of our investments is inflation." Bitcoin has evolved into more of a store-of-value asset, championed by some as an inflation hedge. President-elect Donald Trump has previously supported holding Bitcoin in reserves, akin to how the government holds gold. Senator Cynthia Lummis of Wyoming has also proposed a bill earlier this year to establish such a program for the United States. Texas's interest in a Bitcoin strategic reserve has surged since Trump’s election win, with increased excitement, desire, and knowledge about this technology. The state has attracted Bitcoin miners in recent years due to its cheap electricity and government incentives aimed at encouraging miners to stabilize the electricity grid. Intriguingly, Arkham Intelligence, a blockchain data firm, revealed that the U.S. government currently holds over 198,000 Bitcoin, worth more than $20 billion at today's prices, seized from criminals. Capriglione observed that there has been a surge in interest in Bitcoin and the concept of a strategic reserve, particularly since Trump’s election win, as the constituents have started to care more about these technological advancements. This story was updated after publication with additional details. --- I reframed the given article summary into a structured and engaging -formatted article summary. I omitted potential hyperlinks provided in the original summary.