A Texas bill would give cities and counties the option to invest public funds in Bitcoin or other cryptocurrencies, with a $10 million cap for each local government. State Rep. Ron Reynolds filed House Bill 815 on Nov. 9.
The proposal would amend the Public Funds Investment Act to let cities and counties invest money they own or control. Texas Legislature Online’s filing record showed no committee referral. The measure would take effect in September 2027 if it becomes law.
Which Assets the Texas Bill Would Cover
For local investments, the Texas bill uses the definitions of Bitcoin and cryptocurrency from Senate Bill 21, the 2025 law that created the state’s Bitcoin reserve. Cities and counties could buy assets that fit those definitions regardless of market capitalization.
State reserve purchases follow a separate rule. An asset must have averaged at least $500 billion in market capitalization over the preceding 24 months.
How the Proposal Builds on a 2025 Bill
The Texas bill carries forward the local cap Reynolds proposed in House Bill 4258 in March 2025. That measure also would have let the state comptroller invest up to $250 million from the Economic Stabilization Fund, known as the rainy-day fund, in cryptocurrency.
Texas gained its initial Bitcoin exposure for the state reserve through BlackRock’s iShares Bitcoin Trust. Its custody procurement called for a shift from ETF shares to directly held Bitcoin within 60 days of signing a custody contract.
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