TL;DR
- Texas House Bill 815 proposes allowing each city and county to invest up to $10 million in Bitcoin and other cryptocurrencies.
- The legislation removes the $500 billion market capitalization threshold applied to assets under the state’s Bitcoin reserve framework.
- The proposal, introduced by Representative Ron Reynolds, remains under consideration and includes a proposed effective date of September 1, 2027.
Texas lawmakers are considering a proposal that could expand Bitcoin adoption beyond state-level investment and give local governments greater control over their financial strategies. House Bill 815 would authorize cities and counties to allocate public funds to Bitcoin and other cryptocurrencies, creating another potential avenue for digital assets to enter traditional government finance.
Filed by Democratic Representative Ron Reynolds on November 9, 2026, the legislation seeks to amend the Texas Public Funds Investment Act. Its approach gives local authorities the option to explore cryptocurrency exposure while maintaining control over their own investment decisions.
Texas Bitcoin Bill Introduces A $10 Million Investment Limit
Under HB 815, each municipality and county could invest up to $10 million in cryptocurrency. The limit applies separately to every eligible local government, rather than creating a statewide pool shared among participating authorities.
The proposal does not require public entities to purchase digital assets. Instead, it establishes legal permission for local officials to consider Bitcoin as part of their investment strategies. School districts are excluded from the proposed authorization.
One important detail concerns the legislation’s definition of eligible assets. HB 815 references the cryptocurrency terminology established under Texas Senate Bill 21, enacted in 2025, but does not adopt the state’s separate $500 billion market capitalization requirement.
That distinction could give local governments broader investment flexibility. While the state reserve framework applies a significant size threshold to qualifying assets, HB 815 does not establish an equivalent restriction or provide a specific list of approved cryptocurrencies.
Texas Builds On Its Existing Bitcoin Reserve Strategy
The proposal follows Texas‘ broader effort to establish a public-sector presence in Bitcoin. In 2025, Governor Greg Abbott signed Senate Bill 21, creating the legal framework for a state Bitcoin reserve.
Texas subsequently gained Bitcoin exposure through BlackRock’s iShares Bitcoin Trust, with reported holdings reaching approximately $10 million by May 2026. The state has also explored arrangements for secure custody, asset management and independent reporting as it develops its reserve infrastructure.
Reynolds previously introduced HB 4258 in March 2025, proposing a $250 million cryptocurrency allocation from the state’s Economic Stabilization Fund alongside the same local investment allowance. HB 815 takes a narrower approach by focusing on municipal and county investment authority.
