Texas is ramping up its crypto adoption, with a new bill allowing up to $250 million in public funds to be invested—solidifying its leadership in digital assets.

The U.S. state of Texas is actively pursuing legislation to integrate bitcoin into its financial framework, with multiple bills aimed at incorporating cryptocurrency into the state's investment strategies.

Texas is advancing in its crypto integration with a new bill proposing to invest up to $250 million of public funds in bitcoin and other cryptocurrencies, further solidifying the state’s position in the digital assets domain.

Introduced by Representative Ron Reynolds and filed on March 10, House Bill 4258 would authorize the state comptroller and local governments to invest in cryptocurrencies. The legislation, if passed, will come into effect on Sept. 1, 2025.

The bill permits investment in digital assets by placing limits on the amount of funds that can be allocated, stating:

The comptroller may invest not more than $250 million of the economic stabilization fund balance in bitcoin or another cryptocurrency.

Similarly, local governments would have investment opportunities: “A municipality or county may invest not more than $10 million of its funds or funds under its control in bitcoin or another cryptocurrency.”

HB 4258 amends Section 404.0241 of the Texas Government Code and introduces Section 2256.0165, titled “Authorized Investments: Cryptocurrency,” which formally incorporates digital assets into the state’s financial framework.

This bill follows the introduction of two other measures that aim to integrate bitcoin into the state’s investment portfolio. Senator Charles Schwertner introduced Senate Bill 778, which proposes establishing the Texas Strategic Bitcoin Reserve to allow for the acquisition of bitcoin using a portion of the state’s general revenue funds. The bill, filed on Jan. 14, would authorize investing up to 1% of the state’s unencumbered general revenue funds per biennium in bitcoin, with a focus on secure storage and regular audits.

Furthermore, on March 6, the Texas Senate passed Senate Bill 21, also introduced by Schwertner, which permits the state comptroller to invest in cryptocurrencies with a market capitalization exceeding $500 billion over a 12-month period—a criterion that currently applies only to bitcoin.

With HB 4258 and these additional measures, Texas is emerging as a frontrunner in public sector cryptocurrency investments, although concerns about volatility and regulatory oversight are still being raised.