Texas Allocates $5M to Bitcoin via BlackRock ETF
Texas officially added Bitcoin to its balance sheet November 20, becoming the first U.S. state to hold the asset in its public treasury. The state deployed $5 million into BlackRock’s iShares Bitcoin Trust (IBIT).
Lee Bratcher, President of the Texas Blockchain Council, confirmed the purchase Tuesday. While the total authorized allocation stands at $10 million, the state began with a half-tranche execution.
“Texas will eventual self-custody bitcoin, but while that RFP process takes place, this initial allocation was made with BlackRock’s IBIT ETF.”
The entry price? Approximately $87,000 per BTC.
This acquisition operationalizes Senate Bill 21, signed into law in June 2025, which established the Texas Strategic Bitcoin Reserve. The legislation authorizes the use of general revenue funds to hedge against currency debasement.
The Strategy
Texas bought the dip. With Bitcoin trading near $87,000—down from recent highs—state officials executed the order during a market flush.
Critics argued the volatility poses a risk to taxpayer funds. Supporters, including the Texas Blockchain Council, countered that the dollar’s inflation rate makes cash a guaranteed loser.
The state intends to move the assets to cold storage. Until the Request for Proposal (RFP) for a qualified custodian concludes, the ETF structure provides immediate exposure without the technical overhead of key management.
Other states, including Arizona and New Hampshire, have introduced similar legislation. Texas is the first to pull the trigger on funding.
