- Bitcoin could soon be added to Texas’ financial reserves, as VeChain’s Johnny Garcia highlights the state’s pro-innovation leadership and growing political support.
- State-backed crypto initiatives like this aim to normalize digital assets, improve regulation, and accelerate blockchain adoption across the U.S.
Texas May Be the Next to Bank on Bitcoin, Says VeChain’s Johnny Garcia
As New Hampshire makes history with its landmark Bitcoin reserve bill, the focus now shifts to Texas. According to VeChain’s Johnny Garcia, the Lone Star State is poised to follow suit—and possibly soon. In a recent exclusive with BeInCrypto, Garcia, the Managing Director of Institutional Growth and Capital Markets at the VeChain Foundation, explained why Texas’ political climate and innovation-driven leadership make it a prime candidate for adopting a BTC reserve.
Why Texas? A Perfect Storm of Innovation and Leadership
Garcia points to pro-innovation states like Texas and Utah as the most likely to follow New Hampshire’s lead. With Republican Governor Greg Abbott openly favorable toward crypto, and the Texas legislative session wrapping up by June 2, time is ticking—and optimism is growing.
New Hampshire’s move, via HB302, allowed the state to allocate up to 5% of funds into Bitcoin. Garcia sees this as a catalyst for other states to act quickly or risk falling behind in the blockchain race.
More Than Just Politics: Driving Mainstream and Enterprise Adoption
Garcia emphasized that such state-level efforts normalize digital assets and accelerate infrastructure development. This could push institutional and enterprise adoption, create better regulations, and bring blockchain into public finance. “This shift marks a fundamental change in how blockchain assets are viewed,” he said, calling it a move toward “digital gold.”
The VeChain exec believes state involvement will also drive public-private partnerships, supporting innovations like regulated custody, decentralized finance, and user-friendly wallets.
Balancing Bitcoin Risk and Reward for Taxpayers
Despite the promise, Garcia warned of risks. Bitcoin’s volatility could hurt state reserves if poorly managed, potentially impacting taxpayers. That’s why Garcia advocates for strategic risk management, transparency, and public education to build trust.
He added that many lawmakers lack crypto expertise, underscoring the need for training and clear federal guidelines. Garcia stressed that smart regulation and cybersecurity are key to long-term success.
The Bigger Picture: Toward a National Bitcoin Reserve
While Trump’s Bitcoin plans avoid taxpayer funds, Senator Cynthia Lummis’ BITCOIN Act proposes a national Strategic Bitcoin Reserve. But bipartisan support remains elusive. Garcia believes such a vision is possible—but only with the right political and economic momentum.
As the countdown to June 2 continues, all eyes are on Texas to see if it will step up and solidify its place as a crypto trailblazer.
