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- A Texas legislator has tabled a bill proposing to cap any Texas-based strategic crypto reserve to a maximum of US$500 million.<\/span><\/li>\n
- In Utah, the state\u2019s \u2018Bitcoin bill\u2019 has passed the senate, after all reference to a strategic crypto reserve was removed at the last minute.<\/span><\/li>\n
- At the federal level Senator Cynthia Lummis has reintroduced her BITCOIN Act which if passed would see the US government purchase 1 million BTC over 5 years.<\/span><\/li>\n<\/ul>\n<\/div>\n
There\u2019s been a flurry of activity over the past week around various US<\/a> strategic crypto reserves<\/a>, both at a state and federal level.\u00a0<\/p>\n
In Texas, Democrat Representative Ron Reynolds has introduced a bill<\/a>, which if passed would limit the state\u2019s crypto reserve to a maximum of US$250 million (AU$397 million). In Utah, there\u2019s mixed news \u2014 the state did just pass its \u2018Bitcoin bill<\/a>\u2019, but crucially the clause allowing for the establishment of a strategic Bitcoin reserve was removed.<\/p>\n
Meanwhile at a federal level Republican Senator Cynthia Lummis has reintroduced legislation<\/a> proposing the US purchase 1 million BTC over five years. Lummis\u2019s bill would codify and extend Trump\u2019s<\/a> strategic Bitcoin reserve executive order that currently sees the US government simply holding its seized Bitcoin<\/a> rather than actively acquiring additional Bitcoin. Lummis originally introduced the legislation last year before the election.<\/p>\n
Related:<\/strong> <\/strong>Trump Signs US Crypto Reserve Order as Michael Saylor Says US May Buy 1 Million BTC<\/strong><\/a><\/p>\n
Attempt to Limit Size of Texas\u2019 Bitcoin Reserve<\/h2>\n
Representative Reynolds\u2019 bill, which was introduced March 10, proposes that the Texas comptroller not be allowed to invest more than US$250 million of the state\u2019s Economic Stabilisation Fund into the strategic cryptocurrency reserve. It also suggests that Texas counties and cities be limited to US$10 million crypto reserves.<\/p>\n
This bill follows the passage of legislation through the Texas senate<\/a> on March 6, that allows the state to create a strategic Bitcoin reserve \u2014 that legislation doesn\u2019t specify any limit to the size of the reserve. The bill still requires the signature of the Texas governor to become law. If it clears that final hurdle, Texas will become the first US state to have a strategic crypto reserve.<\/p>\n
Utah Bill Stripped of Reserve Clause\u00a0<\/h2>\n
Meanwhile in Utah the passage of the state\u2019s \u2019Bitcoin bill\u2019, technically known as HB230 \u201cBlockchain and Digital Innovation Amendments\u201d, through the senate has been a mixed blessing. The bill codifies certain rights for the state\u2019s residents \u2014 such as digital asset custody rights, the freedom to mine crypto, run a node or stake crypto \u2014 but it does not include provisions for the state to establish a strategic crypto reserve.<\/p>\n
The establishment of a strategic reserve had been the centrepiece of the bill right up until the last moment. As originally drafted, the bill would\u2019ve allowed Utah\u2019s treasurer to invest in any cryptocurrency that had a market cap over US$500 billion for the past 5 financial years. Only Bitcoin meets this criteria, so effectively it would\u2019ve been a Bitcoin-only reserve.\u00a0<\/p>\n
Prior to the bill\u2019s third and final reading though, Utah\u2019s House voted 19-7-3 in favour of an amendment to strip any reference to a strategic crypto reserve. Commenting on Utah\u2019s legislators\u2019 decision, one of the bill\u2019s sponsors, Senator Kirk A. Cullimore said:<\/p>\n
\nThere was a lot of concern with those provisions and the early adoption of these types of policies, all of that has been stripped out of the bill.<\/em><\/p>\n
![](\"https:\/\/cdn.cryptonews.com.au\/2025\/03\/12135853\/Senator-Kirk-A.-Cullimore.jpg\")
Senator Kirk A. Cullimore <\/p>\n<\/div>\nIn total, 31 US states have introduced bills to establish strategic crypto reserves: of these, 25 could still potentially be passed into law.<\/p>\n
Lummis Reintroduces Legislation to Buy A Million BTC<\/h2>\n
The legislation reintroduced by Senator Lummis, known as the BITCOIN Act, would take the federal strategic bitcoin reserve to a whole new level. Currently, the reserve established by President Trump through an executive order is simply holding Bitcoin seized through criminal investigations.\u00a0<\/p>\n
Lummis\u2019 bill would see the US buy an additional one million BTC over five years to be paid for by \u201cdiversifying existing funds\u201d in the Federal Reserve system.<\/p>\n
It\u2019s unclear whether such a bill has legs, given White House crypto czar David Sacks\u2019 emphasis on how the existing reserve will \u201cnot cost taxpayers a dime\u201d and explicit statement<\/a> that the government won\u2019t be buying assets for the reserve:<\/p>\n
\nThe government will not acquire additional assets for the stockpile beyond those obtained through forfeiture proceedings.<\/em><\/p>\n
![](\"https:\/\/cdn.cryptonews.com.au\/2025\/01\/20131427\/David-Sacksa.jpg\")
David Sacks, White House Crypto and AI Czar <\/p>\n<\/div>\nHowever, the text of the executive order does allow for government purchasing of assets to add to the reserve, directing the Treasury and Commerce Departments to \u201cdevelop budget-neutral strategies for acquiring additional bitcoin.\u201d<\/p>\n
- In Utah, the state\u2019s \u2018Bitcoin bill\u2019 has passed the senate, after all reference to a strategic crypto reserve was removed at the last minute.<\/span><\/li>\n
![](\"https:\/\/cdn.cryptonews.com.au\/2024\/08\/01142917\/Cynthia-Lummis-US-Senator-from-Wyoming.jpg\")
Senator Cynthia Lummis <\/p>\n<\/div><\/div>\n