Texas crypto alliance urges progressive regulations over federal inaction

The coalition including Coinbase, Paradigm, A16z, is meant to serve as a resource for Texas regulators and industry stakeholders

article-image

Ahmed Zaggoudi/Shutterstock modified by Blockworks

share

Prominent players in the crypto industry have established an alliance advocating for transparent and uniform regulations around digital assets within Texas.

The founding members consist of a consortium of companies, including a16z crypto, Bain Capital Crypto, Blockchain Capital, Coinbase, Ledger and Paradigm.

In a statement released on Sept. 11, the alliance said Texas has a significant opportunity to adopt progressive cryptocurrency regulations, given the federal government’s inability to enact reasonable legislation in this regard.

The alliance aims to function as a resource for regulators and industry stakeholders in Texas who seek to gain knowledge and harness the potential of crypto technology.

A Texas Senate bill that intended to eliminate tax incentives for miners and impose stricter regulations on energy consumption was unanimously approved by the state’s Senate earlier this year.

However, the bill was unable to move forward after the May legislative session, as the House did not vote on it before concluding the session.

Senate Bill 1751, sponsored by three Republican state senators, faced opposition from cryptocurrency proponents in the region.

According to Kristine Cranley, director of business development at the Texas Blockchain Council, the bill imposed an “arbitrary cap” on miners, leading to higher costs for grid stabilization services.

Texas granted chartered banks the authority to hold digital assets in June 2021, a move aimed at capitalizing on the state’s flourishing domestic cryptocurrency market. 

In addition to its affordable electricity, which was seen as advantageous for crypto mining a couple of years ago, Texas boasts no state income tax. 

“As a resident of Texas, I know this state has a lot to gain from getting crypto policy right,” said Kinjal Shah, Blockchain Capital general partner and chair of the alliance.

“In the face of federal inaction, Texas should move forward and lead by example with sensible crypto policies that protect consumers and investors, and foster innovation,” she added.

The alliance aims to make regulations clear and cooperative, educate people about digital assets and support innovation in the crypto space.


Get the news in your inbox. Explore Blockworks newsletters:

Tags

Upcoming Events

Old Billingsgate

Mon - Wed, October 13 - 15, 2025

Blockworks’ Digital Asset Summit (DAS) will feature conversations between the builders, allocators, and legislators who will shape the trajectory of the digital asset ecosystem in the US and abroad.

Industry City | Brooklyn, NY

TUES - THURS, JUNE 24 - 26, 2025

Permissionless IV serves as the definitive gathering for crypto’s technical founders, developers, and builders to come together and create the future.If you’re ready to shape the future of crypto, Permissionless IV is where it happens.

Brooklyn, NY

SUN - MON, JUN. 22 - 23, 2025

Blockworks and Cracked Labs are teaming up for the third installment of the Permissionless Hackathon, happening June 22–23, 2025 in Brooklyn, NY. This is a 36-hour IRL builder sprint where developers, designers, and creatives ship real projects solving real problems across […]

recent research

Featured.png

Research

Helium stands at a pivotal moment in its evolution as a decentralized wireless network, balancing rapid growth, economic restructuring, and global expansion. With accelerated growth in domestic DAUs and Hotspots supporting its network, Helium is leveraging strategic partnerships and innovative proposals to scale internationally. The recent implementation of HIP 138, “Return to HNT,” has unified its token economy under HNT, simplifying participation and strengthening liquidity, while HIP 139’s phase-out of CBRS refocuses efforts on scalable Wi-Fi offload. Meanwhile, governance shifts under HIP 141 raise questions about centralization as Nova Labs consolidates control over the roadmap.

article-image

The DeFi Education Fund has ideas on how the crypto-friendly SEC can bring Commissioner Peirce’s vision to life

article-image

“Be prepared to do more with less,” Framework Ventures’ Michael Anderson said

article-image

Q1 may have been “frustrating,” but things are looking brighter for Q2

article-image

Tokens worth 20% of the current supply of the TRUMP memecoin launched by the president are set to be unlocked tomorrow

article-image

A crypto-industry lawsuit is “moot” now that Joint Resolution 25 has been signed into law

article-image

Fed Chair Powell assured markets that the labor market is in “good place,” dependent on price stability