Texas has introduced a new bill to establish a strategic Bitcoin reserve. The legislation proposes that the state accept Bitcoin payments for taxes, fees and donations, with the Bitcoin collection .cwp-coin-chart svg path { stroke: ; stroke width: ; }
Price
Trading volume in 24 hours
Last price movement 7 days
kept in reserve for at least five years.
According to a report from CNBC, the initiative, introduced by Republican state representative Giovanni Capriglione, aims to strengthen Texas’ fiscal stability while positioning the state as a leader in Bitcoin innovation.
Continuing to talk X spacesCapriglione explained the economic rationale behind the proposal, mentioning inflation as a major threat to investment.
“A strategic reserve of Bitcoin, investing in Bitcoin, would be beneficial to the state,” Capriglione said.
EXPLORE: 10 Best Decentralized Exchanges for September 2024
Proposed legislation to introduce more financial measures Flexibility
The bill, formally titled “An Act Relating to the Establishment of a Bitcoin Reserve within the State Treasury of Texas and the Management of Cryptocurrencies by Government Entities,” aims to introduce greater financial flexibility.
Although the initial proposal does not provide for the direct purchase of Bitcoin by the state, it leaves room for future amendments.
“My goal is to make this bill as broad and broad as possible,” Capriglione noted, indicating potential support for future improvements.
The bill to establish a “Strategic Bitcoin Reserve” in the state of Texas has been filed live on X Spaces. History has been made. pic.twitter.com/8IZdoMmKYj
—Dennis Porter (@Dennis_Porter_) December 12, 2024
Texas’ move is significant given its status as the second-largest economy in the United States and eighth largest globally. The state is also home to the highest concentration of Bitcoin miners in the country, raising the possibility that some miners will choose to pay taxes in cryptocurrency.
The effort aligns with a larger movement in the United States and beyond.
Pennsylvania was the first state to introduce a Bitcoin strategic reserve law in November, while other states, including Oklahoma, Louisiana, Montana and Arkansas, have enacted laws protecting mining, self-custody and peer-to-peer management rights. Bitcoin peer. transactions.
Notably, the Satoshi Action Fund, a nonprofit Bitcoin advocacy organization, played a key role in the bill’s creation.
According to Dennis Porter, CEO of the Satoshi Action Fund, similar bills are being discussed in at least 10 states and four countries.
EXPLORE: 20 new cryptocurrencies to invest in 2024
Interest in a national Bitcoin reserve in the United States is increasing
Capriglione’s proposal comes at a time of renewed interest in a national Bitcoin reserve in the United States.
During the Bitcoin 2024 conference in Nashville, former President Donald Trump pledged to preserve all Bitcoin held or acquired by the U.S. government as part of a “strategic national stockpile of Bitcoin.”
Wyoming Senator Cynthia Lummis has also proposed legislation to create a federal Bitcoin reserve.
Despite the growing momentum, skepticism remains about the feasibility of a Bitcoin reserve in the United States. Needham analyst John Todaro told CNBC that while the idea could fuel market enthusiasm, the U.S. is unlikely to make significant purchases of Bitcoin.
“It’s unlikely to lead to material price increases, but it’s something that sparks excitement and optimism,” Todaro said.
EXPLORE: Best Bitcoin Mining Pools in 2024
The post Texas Proposes to Create Bitcoin Reserve by Accepting Taxes, Fees and Donations in BTC appeared first on 99Bitcoins.