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Texas Becomes First U.S. State to Buy Bitcoin for Treasury via BlackRock ETF

The purchase serves as an interim step as Texas builds a self‑custody framework for its legislatively authorized reserve.

Overview

  • Multiple reports say the state executed its initial allocation through BlackRock’s iShares Bitcoin Trust on or around Nov. 20.
  • Coverage differs on the amount deployed, with some outlets citing a $5 million tranche from a $10 million authorization and others reporting the full $10 million.
  • Lee Bratcher said the average entry price was roughly $87,000 per bitcoin and credited Comptroller Kelly Hancock and the treasury investments team for the decision.
  • Senate Bill 21 established the Texas Strategic Bitcoin Reserve with a $10 million appropriation and empowered the treasury to manage the program.
  • Texas used the ETF as a temporary access point and plans to issue an RFP after an industry RFI as it transitions to direct custody, with other states exploring similar strategies.