Texas is putting metal back in the money. House Bill 1056 is now law. It gives Texans the ability to use gold and silver for everyday purchases through a state-backed debit card system. The law passed both chambers and was signed by Governor Greg Abbott in June. It goes live May 1, 2027.
Here’s how it works. Texans will be able to deposit physical gold or silver into the Texas Bullion Depository in Leander. That’s a state-run facility already holding nearly $400 million in precious metals. Once deposited, those holdings can be linked to a debit card. When you swipe the card at a store, the system converts the metal’s value into dollars at the point of sale. The metal stays in the vault. The transaction clears in fiat. The backing is physical.
The law leans on Article I, Section 10 of the U.S. Constitution. That clause says states can’t make anything but gold and silver coin a tender in payment of debts. Most states ignore it. Texas didn’t. The bill passed the House 89 to 45 and cleared the Senate 18 to 12. Republican primary voters backed the idea by 76% in a 2024 ballot proposition.
The Comptroller’s office will oversee the rollout. They’ll contract with a private card issuer and set the rules. Fees, merchant participation, and fraud protections are still being finalized. The infrastructure is already in place. The depository has been operational since 2018. The tech stack is next.
Supporters say it’s about monetary sovereignty. They want a hedge against inflation and a way to transact without relying on the Federal Reserve’s paper system. Critics say it’s symbolic. But the law is real. And it’s the first of its kind in the country.
The move also opens the door to broader adoption of asset-backed currency systems. If the pilot works, other states could follow. Utah and Wyoming have already passed gold-friendly laws, but none have built a full transactional system like this.
The rollout will take time. The law gives the state nearly two years to finalize the mechanics. But the direction is clear. Texas is building a parallel track. One that doesn’t run through Washington.
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