Last week, the State Affairs Committee of the Texas House of Representatives advanced H.B. 1056 by a 10-5 vote, which proposes creating a gold and silver-backed transactional currency in Texas.
While the vote was not entirely unexpected, it was a disappointing outcome, as several lawmakers who had previously committed to vote against the bill changed their minds at the last minute.
IBAT has been the lone voice at the Texas Capitol speaking out against the proposal, which first arose during the last legislative session in 2023. IBAT continues to highlight the negative impact that the bill would have on Texans. In addition to undermining the United States dollar, the measure would remove liquidity from the banking system and open consumers to negative impacts from commodity volatility and tax consequences in each transaction.
IBAT’s opposition was further bolstered by the Texas Comptroller’s office which highlighted case law that prohibited states from creating currency.
The bill will be referred to the full House of Representatives in the days ahead. Please be on the lookout soon for a call to action for IBAT members to ask their lawmakers to oppose the bill in the when it reaches the floor.
