Texas Become First US State to Invest in BTC With $10M Purchase

Texas: The First US state to invest in Bitcoin via BlackRock IBIT ETF

Texas has become the first state in the United States to invest in Bitcoin by buying $5 million through the IBIT ETF at BlackRock, indicating the serious intentions of investing in digital assets and financial innovation.

Initial Purchase of $5 Million using IBIT ETF of BlackRock.

Texas is the first state in the United States to invest in BTC in a historic move that indicates a radical move towards the adoption of digital assets in state government. On November 20, 2025, the Texas Treasury made an initial purchase of $5 million of Bitcoin at a rough price of $87,000 per BTC in an IBIT ETF at BlackRock.

The investment constitutes a larger investment of $10 million in the general revenue of the state to be used as a strategic Bitcoin reserve. Although this distribution has only been implemented half, the action highlights the willingness of Texas to venture into digital assets in its financial plan.

Source: Official Lee Account

Self-Custody Planning in Strategic Allocation.

Lee Bratcher, the President of the Texas Blockchain Council, affirmed that the treasury will someday self-custody its Bitcoin reserves. This will be done after the Request for Proposal (RFP) process for the custody solutions has been completed.

The initial acquisition using BlackRock IBIT ETF is a short-term solution so far, as the state will be able to enter the market promptly with a well-organized digital asset management policy.

Smart Move For Future Gain

The purchase is timed when the price of BTC has experienced a significant decline after hitting highs of over $120,000 per coin. According to experts, the acquisition of Texas represents a risk-averse but proactive approach because the state will gain in the case of a future increase in the cryptocurrency market.

Comptroller Glenn Hegar and the investment team working tirelessly at The Treasury have been keenly following the price of BTC. The fact that they have invested at an $87,000 basis indicates that they believe in the long-term potential of Bitcoin as a reserve asset in spite of its short-term fluctuations in the market.

Expanding Community Response and Institutional Adoption.

This historic acquisition underscores the growing institutionalization of BTC. This is leading by example, providing treasury funds to crypto, potentially affecting other states that might follow suit in pursuing the idea of state-owned crypto, such as Arizona or Oklahoma, which have already expressed interest in such a move.

An amendment later on made it clear that the original investment was not $10 million, but $5 million, which underscores the symbolic quality of the purchase in encouraging state-level engagement in digital assets.

Texas: Leader in Blockchain-Friendly Policies.

This action is in line with the trend of being pro-blockchain in its regulations, such as the recent legislation allowing state-owned digital assets. The state shows its financial foresight as well as leadership in encouraging innovation in the field of government finance by going into the BTC investment sphere.

The historic Bitcoin purchase in Texas is closely monitored by other states, and it may become a precedent in the addition of cryptocurrencies to government reserves, which may become a new chapter in the history of the financial regulation of the United States.

Conclusion

The purchase is an indicator of progressive state finance, which encourages the use of blockchain and sets a precedent for other states that may view cryptocurrency as a strategic reserve in changing market conditions.