Texas became the first US state to buy $10 million worth of Bitcoin.
The state of Texas has officially become the first US state to include Bitcoin in its treasury balance sheet. The $10 million purchase was made as part of a new strategic initiative to manage state reserves.
The decision was made during a decline in market prices, which officials viewed as an opportune entry point.
Transaction mechanism and instrument selection
Instead of purchasing coins directly, the authorities used BlackRock's spot Bitcoin ETF (IBIT). Texas Blockchain Council President Lee Bratcher confirmed the transaction. He said the Treasury closely monitored market conditions and executed the deal on November 20th. At that time, the Bitcoin price had fallen to $87,000.
Officials emphasize that self-custody remains the ultimate goal. However, at this stage, the exchange-traded fund is ensuring regulatory compliance while the state builds its own secure custody system.
The acquisition marks the initial stage of a large-scale program to diversify its reserves. The authorities intend to test operational processes, risk management systems, and digital asset control protocols. Only after the infrastructure is properly established will investment be expanded.
This move coincides with a general trend of growing institutional investor interest in cryptocurrencies, supported by significant capital inflows into ETFs and the activity of large financial institutions.
A precedent for the public sector
Although the $10 million investment represents a small fraction of the state's total reserves, the event carries significant symbolic significance. This marks the first time in US history that a regional government has considered bitcoin as a treasury instrument.
Experts believe the Texas initiative will influence fiscal planning in other states. It could stimulate future discussions about competitiveness, technological development, and methods for protecting public savings from inflation. If successful, Texas could become the catalyst for a new phase of cryptocurrency adoption in the public sector.
Source: cryptonews.net
