Texas authorities purchased bitcoin through a BlackRock spot ETF, becoming the first U.S. state to acquire the cryptocurrency directly.

The transaction amounted to $10 million, executed via IBIT at an implied price near $87,000 per coin, according to a post on X by Lee Bratcher.

State purchase details

Officials executed the acquisition by buying shares of the spot ETF IBIT, which is managed by BlackRock and tracks bitcoin prices.

The disclosed investment totalled $10 million, with the transaction price reported at about $87,000 per coin. The state has not released a full transactional breakdown.

Custody and future handling

Texas officials indicated plans to hold and accumulate bitcoin directly, preferring internal custody over third-party custodians in future acquisitions.

They said the intent is to transfer holdings into self-custody over time, reducing reliance on external custody arrangements for state-held digital assets.

About spot ETFs

A spot bitcoin ETF holds exposure to the cryptocurrency by owning underlying coins on behalf of investors, providing market access without direct retail custody.

Using a spot ETF can simplify acquisition and reporting procedures for institutional or public entities, while the ETF provider manages custody and settlement functions.

Precedent and reporting

This transaction is the first publicly reported instance of a U.S. state-level government allocating public funds to bitcoin in this manner, establishing a procedural precedent.

The state’s announcement was brief and did not include a full legal rationale or detailed treasury policy disclosure alongside the purchase report on X.