Texas Establishes Strategic Bitcoin Reserve
On June 21, 2025, Texas Governor Greg Abbott signed Senate Bill (SB) 21 into law, officially creating a Strategic Bitcoin Reserve (SBR) for the state. This move positions Texas as the third U.S. state, following Arizona and New Hampshire, to establish such a reserve. The legislation aims to integrate Bitcoin into the state’s financial strategy, reflecting a growing trend among U.S. states to explore cryptocurrency as a potential asset class.
Legislative Developments and Protections
In addition to SB 21, Governor Abbott signed a companion bill that provides protections for the strategic Bitcoin reserve. This bill ensures that the reserve, along with other state funds, is safeguarded from periodic “fund-sweeps,” which are reallocations of state funds into general revenue. This legislative action was highlighted by “Bitcoin Laws” on social media, marking a significant moment in what has been termed the “State Reserve Race.”
Earlier in the day, there was speculation that the Bitcoin reserve might become law without the governor’s signature. However, Abbott had already signed 306 bills from the 89th Regular Legislative Session, including 15 high-priority measures. Among these was a bill mandating efficiency audits across state agencies, indicating a busy legislative agenda.
Additional Legislative Measures
On the same day, Governor Abbott also signed House Bill 4488. This bill ensures that state funds, including any Bitcoin reserves held outside the state treasury, are protected from being redirected into general revenue. This measure further solidifies the framework for Texas’s strategic Bitcoin investment program.
Market Context and Broader Trends
The establishment of the Texas Strategic Bitcoin Reserve comes amid a stable crypto market with a bullish undertone. Factors contributing to this stability include continued institutional accumulation, strategic reserve initiatives from the U.S. and El Salvador, and the impact of an upcoming Bitcoin options expiry, which is providing upward price pressure.
In related news, Michael Saylor, founder of MicroStrategy, has raised his Bitcoin price forecast to $21 million by 2046. Speaking at the BTC Prague 2025 event, Saylor emphasized the long-term value of Bitcoin amid evolving geopolitical and cryptocurrency adoption trends.
Arizona’s Continued Efforts
Meanwhile, the Arizona Senate has revived a previously defeated bill to establish a state-managed Bitcoin reserve fund. House Bill 2324, which was initially rejected in the House, has been reintroduced, signaling Arizona’s ongoing commitment to integrating digital assets into its government financial systems.
STRATEGIC BITCOIN RESERVE Fundamentals
As of June 19, 2025, the close price of the Strategic Bitcoin Reserve was $0.0522299. Over the past year, the asset has experienced significant volatility, with a 52-week high of $4.30886 on November 13, 2024, and a 52-week low of $0.031196 on November 6, 2024.