The State of Texas has purchased approximately $5 million in shares of BlackRock’s iShares Bitcoin Trust (IBIT), a spot Bitcoin exchange-traded fund. The transaction, executed on November 20, 2025, marks the first known instance of a U.S. state acquiring Bitcoin exposure through an ETF for its official reserves.
The investment follows legislation passed in 2024 and signed into law in June 2025 that authorizes Texas to establish a strategic Bitcoin reserve. The law permits the state to accept Bitcoin donations, receive cryptocurrency payments for certain state services, and hold acquired Bitcoin in cold storage for a minimum of five years. Annual independent audits are required under the statute.
Lee Bratcher, president of the Texas Blockchain Council, confirmed the purchase and stated that the allocation was made via IBIT while the state completes a request-for-proposal process to select a qualified custodian for direct Bitcoin holdings. He indicated that Texas intends to transition to self-custody of Bitcoin in the future.
At the time of the purchase, Bitcoin traded near $87,000, giving the $5 million allocation exposure to roughly 57 BTC through the ETF shares.
The Texas legislation and subsequent investment align with broader discussions at the federal level regarding Bitcoin as a reserve asset. Similar proposals have been introduced in Congress, including the BITCOIN Act co-sponsored by Senator Cynthia Lummis. President Trump has issued an executive order calling for a national cryptocurrency reserve so the federal government can accumulate Bitcoin for the purposes of its economic strength in the digital age.
Other U.S. states have taken similar steps. New Hampshire authorized a $100 million Bitcoin-backed municipal bond program earlier in 2025, and Arizona has advanced legislation to create its own strategic Bitcoin reserve. The Texas Comptroller’s office has not yet released an official statement on the transaction as of December 3, 2025.
