Texas bought $5.000.000 of the iShares Bitcoin Trust (IBIT) from BlackRock on 20 November 2025, as part of a total state allocation of $10.000.000 intended for a strategic Bitcoin reserve. The transaction, executed at an average price of approximately $87.000 per BTC, provides immediate market exposure while the state prepares the transition to self-custody. The move is framed as a first step within a broader plan to balance regulatory compliance and sovereign control over digital assets.
Detail of the operation and legal framework
The initial $5.000.000 purchase in IBIT amounted to approximately 57,47 BTC at an average price of $87.000 per unit, using an exchange-traded fund to gain exposure without directly holding the asset. IBIT is an ETF (exchange-traded fund), a regulated vehicle that tracks the price of an asset and is traded on traditional markets, which allows institutional access under established market rules.
BlackRock’s IBIT had over $91.000.000.000 in assets under management and a reported holding of 661.457 BTC as of August 2025, in addition to net inflows accumulated during the year. The decision responds to the state law passed in June 2025 (Senate Bill 21), which conditions the inclusion of assets in state reserves on a market capitalization requirement: only cryptocurrencies with an average capitalization above $500.000.000.000 in the previous 24 months qualify for direct holding by the State.
Because of that limitation, Texas used IBIT as a temporary solution while reserving an additional $5.000.000 for direct acquisition and self-custody once the necessary regulatory and operational frameworks are completed. This two-step allocation preserves the ability to deploy capital promptly while aligning future custody with statutory criteria and internal governance.
Operational implications, risks and market context
The two-phase strategy —regulated exposure via IBIT followed by self-custody— seeks to reconcile compliance and financial sovereignty. Self-custody is the direct possession of private keys by the custodian; it requires cryptographic controls, advanced security protocols and audit procedures to mitigate operational risk and asset loss. The measure also responds to liquidity and traceability considerations: the ETF offers immediate access and a regulatory filter, while direct custody pursues full control over the asset.
Market analysts observed that the purchase was made after a correction and amid mixed on-chain data: analytic firms suggested accumulation by certain large holders (cohorts of 100–1.000 BTC and >10.000 BTC), while the 1.000–10.000 BTC cohort remained selling, which could limit bullish momentum until sustained closes above $92.000. In this context, the state operation reflects a long-term view rather than a bet on an immediate technical rebound.
Short quotes from ecosystem actors summarize the political and practical reading: ‘buy the dip’ —in the words of Texas Blockchain Council president Lee Bratcher— and the historical contrast highlighted by Pierre Rochard: ‘from governments that would ban bitcoin to governments that buy a small amount’ as a sign of change in the relationship between authorities and cryptoassets.
The acquisition of $5.000.000 in IBIT marks an operational and legal step for Texas to integrate Bitcoin into its treasury, balancing compliance and control. The next milestone is the transition to self-custody of the remaining $5.000.000, conditioned on the completion of regulatory frameworks and the consolidation of technical and security procedures for record keeping and identification of the beneficial owner.
