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On November 20, Texas became the first<\/a> U.S. state to buy Bitcoin for its Strategic Reserve, acquiring $5 million at roughly $87,000 per BTC, according to Lee Bratcher, President of the Texas Blockchain Council. <\/p>\n The purchase was made through BlackRock\u2019s<\/a> iShares Bitcoin Trust (IBIT) while the state finalizes plans for self-custody.<\/p>\n The move signals growing state-level interest in Bitcoin as a reserve asset. Texas had previously explored<\/a> strategic Bitcoin legislation last year, wanting to create a Bitcoin reserve without using taxpayer funds.\u00a0<\/p>\n In June of this year, the Texas governor signed<\/a> the legislation into law, creating a state Strategic Bitcoin Reserve.<\/p>\n Institutional investors are increasingly following suit. Harvard University\u2019s endowment recently<\/a> tripled its IBIT holdings to $442.8 million, making it the university\u2019s largest publicly disclosed investment.\u00a0<\/p>\n Emory University and Abu Dhabi\u2019s Al Warda Investments have also significantly increased Bitcoin ETF exposure.<\/p>\n Bitcoin\u2019s price is currently trading near $87,500, roughly<\/a> 30% below its all-time high. Lee Bratcher was the first<\/a> to disclose this news.\u00a0<\/p>\n \u201cTexas will eventual self-custody bitcoin,\u201d Bratcher said, \u201cbut while that RFP process takes place, this initial allocation was made with BlackRock\u2019s IBIT ETF.<\/p>\n Bratcher is the President and Founder of the Texas Blockchain Council, an industry association with over 100 member companies and hundreds of individuals promoting Texas as a hub for Bitcoin and blockchain innovation.\u00a0<\/p>\n He actively championed the state\u2019s Bitcoin reserve legislation, working on the ground<\/a> to guide it through the state Senate.<\/p>\n In the legislation explored last year<\/a>, Texas State Representative Giovanni Capriglione filed a bill to create a Strategic Bitcoin Reserve for the state.\u00a0<\/p>\n The legislation proposed that the state buy and hold bitcoin as a strategic asset, store it in cold storage for at least five years, allow resident donations, and enable state agencies to accept and convert cryptocurrencies to bitcoin.\u00a0<\/p>\n It also mandated transparency through yearly audits and reports. Modeled after a federal proposal by President Donald Trump and Senator Lummis, the bill mirrored the growing global interest of bitcoin.\u00a0<\/p>\n Earlier this month, New Hampshire became<\/a> the first government worldwide to approve a $100 million Bitcoin-backed municipal bond. The state\u2019s Business Finance Authority (BFA) authorized the conduit bond, allowing private companies to borrow against over-collateralized Bitcoin held in custody, with repayment risk resting solely on the collateral.\u00a0<\/p>\n Borrowers must post roughly 160% of the bond\u2019s value in Bitcoin, and automated liquidation protects bondholders if values drop. Fees and any BTC appreciation will fund the state\u2019s Bitcoin Economic Development Fund.\u00a0<\/p>\nTexas isn\u2019t the only state interested in buying bitcoin\u00a0<\/h2>\n