Lawmakers in Texas also suggested that Ethereum could eventually be added if it sustains a market cap above $500 billion for more than 24 months. At the same time, Metaplanet strengthened its Bitcoin-first treasury model by drawing another $130 million from its BTC-backed credit facility, bringing total borrowing to $230 million as it continues buying BTC despite carrying large unrealized losses.
Texas Ramps Up Bitcoin Strategy
Texas took a meaningful step toward integrating Bitcoin into its long-term financial strategy by purchasing $5 million worth of shares in BlackRock’s spot Bitcoin ETF, IBIT. Another $5 million is earmarked for a direct, self-custodied BTC buy. The acquisition was made on Nov. 20, and was later pointed out by Texas Blockchain Council president Lee Bratcher.
This buy is the beginning of the state’s deployment of a $10 million allocation drawn from general revenue. Bratcher explained that Texas ultimately intends to self-custody Bitcoin, but because the framework for doing so is still being finalized, the first tranche was executed through IBIT.
The move is being interpreted as another sign of accelerating government-level Bitcoin adoption. Pierre Rochard, CEO of The Bitcoin Bond Company, described the moment as a dramatic shift in public-sector sentiment, as fears of government hostility toward Bitcoin have given way to open participation. In his view, the past five years took the conversation from “governments will ban bitcoin” to governments actively buying small amounts.
Texas’ purchase also aligns with the state’s long-term plan to establish a Strategic Bitcoin Reserve, which was authorized earlier this year by Governor Gregg Abbott. Under the framework of the bill, only assets with a market cap above $500 billion qualify for inclusion, which is a requirement currently met by Bitcoin but not by the IBIT ETF itself.
Even so, the ETF purchase is being seen as a preparatory step toward the state’s eventual move into self-custodied digital assets. Lawmakers, meanwhile, are already eyeing the possibility of adding Ethereum as well. State Senator Charles Schwertner suggested that ETH could be included if it maintains a market cap above $500 billion for a sustained 24-month period.
While some people framed Texas’ buy as a first-of-its-kind state action, filings show that Wisconsin beat it to the punch last year by purchasing almost $100 million worth of IBIT shares in May of 2024. However, the state sold off its holdings a year later.
Texas now joins a growing list of institutional and government-aligned entities accumulating the ETF, including Harvard and Abu Dhabi, according to Bloomberg analyst Eric Balchunas.
Metaplanet Ramps Up Borrowing for BTC
Tokyo-listed Bitcoin treasury company Metaplanet also expanded its aggressive accumulation strategy by drawing an additional $130 million from its Bitcoin-backed credit facility to fund BTC purchases, income-generation initiatives, and potential share buybacks. The company executed the latest loan on Friday, which brought its cumulative borrowing under the $500 million credit line to $230 million.
The credit facility allows Metaplanet to secure short-term liquidity using its Bitcoin reserves as collateral, which allows it to continue scaling its Bitcoin holdings even in periods of market volatility. While the company acknowledged that the borrowing structure exposes it to the risk of collateral calls if BTC’s price drops, Metaplanet is still confident in the depth of its reserves. It reassured investors that it maintains ample collateral headroom. The firm also explained that the size of its Bitcoin treasury relative to the loan amount gives it a strong buffer against price swings.
Notice from Metaplanet
This latest loan is part of Metaplanet’s two-track financing approach, which blends debt and equity instruments to accelerate its long-term Bitcoin strategy. Alongside the flexible, on-demand credit line, the company is pursuing a plan to raise an additional $135 million through the issuance of Class B perpetual preferred shares.
These shares provide long-term capital, offer fixed annual payouts, and may be converted into common stock. They also give the company selective buyback options under certain conditions, offering a complementary form of financing that does not rely solely on BTC-backed borrowing.
Together, these funding channels make it possible for Metaplanet to continue growing its Bitcoin treasury even while its holdings sit at an unrealized loss. According to BitcoinTreasuries.NET, the company’s average purchase price for BTC sits at roughly $108,036, leaving it with nearly a 20% unrealized loss at current market levels around $87,000.
Despite the downturn, Metaplanet is very committed to its accumulation strategy. Bitcoin strategy director Dylan LeClair said on X that the company is “HODLing,” while others noticed that the timing of the loan coincided with BTC’s dip to about $82,000, suggesting the firm may have strategically taken advantage of the decline to increase its position.
