Texas bill would allow bitcoin to be used for taxes, donations
(NewsNation) — A bill that has been introduced in the Texas Legislature would allow residents to use bitcoin to pay their taxes and make other political contributions and charitable donations.
The Texas Strategic Bitcoin Reserve Act already has bipartisan support, according to one of the bill’s sponsors. If passed, the bill could set a precedent for the remainder of the country and for the U.S. Treasury. The proposed law would allow Texas to begin building a bitcoin reserve by allowing fees, contributions and taxes to be paid using cryptocurrency.
The reserve would be held for a minimum of five years.
Texas Republican Rep. Giovanni Capriglione told NewsNation that cryptocurrency is creating new jobs in the state and that bitcoin has created an ecosystem around the state.
Several other states are also considering similar bills that would increase the use of cryptocurrency among residents. Pennsylvania introduced a Strategic Bitcoin Reserve bill last month and discussions are ongoing in 10 states about cryptocurrency legislation.
The proposed legislation as President-elect Donald Trump is set to take office with a crypto-friendly administration. Prices of bitcoin have more than doubled and are up by more than 45% since Nov. 5. Trump has called for lighter regulations regarding cryptocurrency and plans to have a crypto czar as part of his administration.
The Texas Legislature will begin its new session on Jan. 14, less than a week before Trump’s inauguration.