Texas Leads with Bitcoin Strategic Reserve Purchase via ETF
On November 20, 2026, Texas became the first U.S. state to purchase Bitcoin for its strategic reserve, acquiring $5 million worth of the cryptocurrency at approximately $87,000 per BTC through BlackRock's iShares Bitcoin Trust (IBIT). The purchase was confirmed by Lee Bratcher, President of the Texas Blockchain Council, who noted that the state is still finalizing plans for self-custody of the Bitcoin holdings.
This move highlights the growing interest among U.S. states in treating Bitcoin as a reserve asset. Texas had been exploring strategic Bitcoin legislation since last year, aiming to create a reserve without using taxpayer funds. In June 2026, the Texas governor signed the relevant bill into law, officially authorizing a state-level Strategic Bitcoin Reserve.
Institutional investors are also following suit. Harvard University's endowment recently tripled its IBIT holdings to $442.8 million, making it the university's largest publicly disclosed single investment. Emory University and Abu Dhabi's Al Warda Investments have also significantly increased their Bitcoin ETF exposure.
Bitcoin currently trades near $87,500, roughly 30% below its all-time high. Bratcher stated that Texas will eventually self-custody the bitcoin, but during the RFP process, the initial allocation was made via BlackRock's IBIT ETF. Bratcher is the founder and president of the Texas Blockchain Council, an industry association with over 100 member companies and hundreds of individuals promoting Texas as a hub for Bitcoin and blockchain innovation.
Texas Is Not the Only State Interested in Bitcoin
In legislation explored last year, Texas State Representative Giovanni Capriglione filed a bill to create a Strategic Bitcoin Reserve for the state. The bill proposed buying and holding bitcoin as a strategic asset, storing it in cold storage for at least five years, allowing resident donations, and enabling state agencies to accept and convert cryptocurrencies to bitcoin. It also mandated annual audits and reports for transparency. The bill was modeled after a federal proposal by President Donald Trump and Senator Lummis, mirroring growing global interest in bitcoin.
Earlier this month, New Hampshire became the first government worldwide to approve a $100 million Bitcoin-backed municipal bond. The state's Business Finance Authority (BFA) authorized the conduit bond, allowing private companies to borrow against over-collateralized Bitcoin held in custody, with repayment risk resting solely on the collateral. Borrowers must post roughly 160% of the bond's value in Bitcoin, and automated liquidation protects bondholders if values drop. Fees and any BTC appreciation will fund the state's Bitcoin Economic Development Fund. This move follows New Hampshire and Arizona's earlier creation of a Strategic Bitcoin Reserve.