Texas has become the first U.S. state to invest approximately $10 million in BlackRock’s iShares Bitcoin Trust (IBIT) as part of its strategic reserve. This purchase occurred while Texas was finalizing its own Bitcoin custody plan. According to Lee Bratcher, president of the Texas Blockchain Council, the price of each Bitcoin was around $87,000 at the time. This move reflects a growing trend among states to hold Bitcoin as a reserve asset. Last year, Texas considered legislation to establish a Bitcoin reserve without using taxpayer funds, and in June, the governor approved the law, enabling the creation of the state’s strategic Bitcoin reserve.
Institutional investors worldwide are also increasing their Bitcoin holdings. Harvard University has tripled its IBIT holdings, making it its largest public investment, while Emory University and Abu Dhabi’s Alwarda Investments have also significantly increased their Bitcoin ETF exposure. Bitcoin’s current price is near $87,500, about 30% below its all-time high. Lee Bratcher noted that Texas plans to eventually manage its own Bitcoin custody but initially made the investment through BlackRock’s ETF.
This development signals growing confidence and legal acceptance of Bitcoin at both state and global levels. Other states, including New Hampshire and Arizona, have also established strategic Bitcoin reserves. Recently, New Hampshire approved the world’s first $100 million Bitcoin-backed municipal bond, allowing private companies to borrow using Bitcoin. These initiatives aim to position Bitcoin as a stable and legally recognized investment, with more states and institutions expected to follow.
Source: bitcoinmagazine
