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You are here: Home / Bitcoin Industry News / Texas Surges in U.S. States’ Race to Put Public Funds Into Crypto

March 6, 2025

Texas Surges in U.S. States’ Race to Put Public Funds Into Crypto

Several U.S. states are getting closer to putting public money into cryptocurrencies effort, spurred by President Donald Trump since he announced plans to do the same on a federal level. And Texas is now among the leading contenders.

On Thursday, the Texas state senate passed the so-called SB 21 bill which would allow the state to invest some of the public’s money into digital assets, specifically bitcoin (BTC).

Bitcoin, according to a statement from Texas Senator Charles Schwertner last week, “has proven itself through multiple boom and bust cycles,” making it a great reserve asset in times of a “devastating national deficit” along with “inflation and uncertainty,” as Schwertner described.

New Hampshire also passed a bill on Wednesday through a state house committee, the House Bill 302 by a 16-1 vote, that would allow the state to invest up to 5% of public funds into bitcoin as well as other precious metals. So, it’s moving forward, though it’s a few votes away from the finish line.

Almost a dozen states have made strong efforts to pass a bill that would allow similar allocations, while at least five states ran into setbacks or no votes that tanked their bills.

Utah has so far been the frontrunner in a variety of efforts and remains just one senate approval away from sending a bill to its governor’s desk. However, the legislative session expires this week, leaving little time to get the senate to join the state house in approving an investment of as much as 5% of certain public accounts in a digital asset with more than $500 billion in assets. (So far, that’s just bitcoin.)

If the Utah senate acts by Friday, the final word goes to its Republican governor, Spencer Cox, who has supported blockchain policy in the past. If not, Utah’s effort gets put off another year, and other states such as Arizona and Texas could take the spotlight.

The recent action comes after President Trump on Sunday again discussed his own plan for a strategic crypto reserve. Trump said that a U.S. strategic crypto reserve could hold XRP, Solana (SOL) and Cardano (ADA) as well as Bitcoin and Ethereum (ETH), though many details of the effort and how it would be executed remain uncertain.

Many industry leaders have criticized Trump’s decision to hold other cryptocurrencies beyond bitcoin, as it is the one that best fits the characteristics of other reserve assets such as gold. The president, however, hasn’t provided clear guidelines on how such a strategy would work — for example, how the government would source the tokens.

Read More: Utah One Vote Away, But Some States Fail to Break Through on Crypto Stakes

Author: Helene Braun, Jesse Hamilton

Filed Under: Bitcoin Industry News

Expert Witness

Ty Sagalow head shotTy Sagalow's unique background in legal, underwriting, policy drafting and claims – and his designation as a “qualified insurance expert” by the United States District Court for the Southern District of California – offers attorneys an unparalleled resource in D&O, E&O and Cyber insurance coverage disputes. He was also named "Most Helpful Expert" in a recent $8.7M coverage decision.

Mr. Sagalow served as Chief Underwriting Officer and General Counsel for AIG Executive Liability (formerly National Union Fire Insurance Company of Pittsburgh, PA), the world’s largest carrier of Directors and Officers Liability and Professional Liability Insurance. As General Counsel, Mr. Sagalow personally wrote or led teams that wrote all the D&O policies and many of the professional liability policies that AIG produced between 1988 and 2000 – policies which continue to serve as the foundational wording for the D&O and professional liability policies in the market today. As AIG Executive Liability’s Chief Underwriting Officer, Mr. Sagalow was charged with all underwriting interpretations and decisions for AIG D&O/E&O policies. In 2009, Mr. Sagalow headed up the team that rewrote all D&O policies for Zurich North America.

Ty is a cum laude graduate of Georgetown University Law Center and holds a LLM from New York University School of Law.

Bitcoin Insurance

Combining his talents as a network security insurance expert and an insurance product development expert, Ty Sagalow is the leading expert on the unique risk and insurance needs of the bitcoin industry.

With the successful sale of BitSecure(tm), the first bitcoin theft insurance policy in February of 2015, he is the first to create a sustainable, robust insurance policy to cover the theft of bitcoins and other virtual currency backed by an A-Rated, global “top 10” Property and Casualty insurance company.

Company Profile

Innovation Insurance Group is an insurance consulting firm and insurance brokerage founded by 30-year insurance executive, Ty R. Sagalow, former Chief Underwriting Officer, General Counsel and Chief Innovation Officer at AIG, and former Chief Innovation Officer at Zurich, NA and Tower Group. IIG focuses on three core practice groups: product development, expert witness services (primarily in the Management and Professional Liability areas), and bitcoin industry brokerage services.

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