The operation was revealed by Lee Bratcher, president of the Texas Blockchain Council.
Dennis Porter welcomed the decision and highlighted the effectiveness of BTC as a savings tool.
Texas took a historic step on the financial and technological front by becoming the first jurisdiction in the United States to invest in bitcoin (BTC) through a BlackRock product.
The state made a first purchase for 5 million dollars (USD), which was channeled through the bitcoin spot exchange-traded fund (ETF) called iShares Bitcoin Trust (IBIT). This was made on November 20 at an entry price close to USD 87,000 per unit.
The operation was revealed by Lee Bratcher, President of the Texas Blockchain Council. He also indicated that Texas defined an allocation of USD 10 million of its general income to dedicate to this investment, although it only used half of it for its first purchase.
The decision generated immediate reactions in the ecosystem. Dennis Porter, CEO of Satoshi Action Fund, welcomed the move and argued that local governments need solid tools to safeguard taxpayer funds.
“Bitcoin is a proven savings tool,” stated. Although it should be taken into account that Investing in a currency ETF is not the same as investing directly in BTC.
Purchasing bitcoin allows you to have the currency directly, with full control over its transfer and self-custody in your own wallet, in addition to assuming responsibilities such as security.
A spot bitcoin ETF, on the other hand, offers exposure to the price of BTC without owning it, through a financial instrument from an asset manager that handles custody.
The Texas movement joins a broader trend among state governments exploring the creation of digital asset treasuries. As CriptoNoticias reported, New Hampshire led the way in May with the passage of HB 302.which authorizes investing part of public funds in bitcoin as part of a Strategic Reserve.
For its part, Arizona followed a different route: its law HB 2749 does not allow direct investments, but it does allow cryptocurrencies abandoned on exchanges and unclaimed staking rewards to be allocated to a special state fund aimed at safeguarding value.
While the federal administration is still defining the guidelines to maximize the national bitcoin reserve promoted by Donald Trump, it is the states that are setting the pace in the institutional adoption of the market.