Texas Governor Greg Abbott has signed House Bill 4488, which protects certain state funds from being transferred to the general revenue budget.
New Legislation on Texas Funds
Texas Governor Greg Abbott has signed House Bill 4488 (HB 4488), which protects certain state funds from being transferred to the general revenue budget. This law applies to assets such as Bitcoin reserves that may be held outside the state treasury.
Protected Funds
Funds protected by the law include not only potential Bitcoin reserves but also other strategic funds like the Texas Advanced Nuclear Development Fund and the Gulf Coast Conservation Account. These funds will be established or restructured as independent entities within or outside the state treasury, depending on relevant regulations.
Future of Cryptocurrency Investments
Meanwhile, Governor Abbott has yet to make a decision on Senate Bill 21 (SB 21), which could allow Texas to directly invest in cryptocurrencies. If SB 21 becomes law, the state would be permitted to invest in crypto assets with a market value of at least $500 billion. Currently, only Bitcoin meets that threshold. If SB 21 is passed, the planned 'Texas Strategic Bitcoin Reserve' will now be legally protected under HB 4488.
These bills could significantly impact the state of Texas's investment policy regarding cryptocurrencies and its role within the broader financial market.
