Texas Subdivision of United States

Texas maintains a legal and regulated environment for cryptocurrency activities under the Texas Finance Code and the Texas Money Services Modernization Act. The state has specific legislation addressing virtual currency and mining, including the Strategic Bitcoin Reserve Act and ERCOT Mining Registration Rules.

Overview

StatusLegal
Risk Score25/100 (Low Risk)
Regionnorth america
CurrencyUSD

Tax Information

VAT on CryptoNo

Licensing & Registration

RequiredYes
RegulatorTexas Department of Banking (TDB) / Texas State Securities Board (TSSB) / Texas Department of Licensing and Regulation (TDLR)
FrameworkTexas Money Services Modernization Act (MSMA, SB 895)
Easemedium
Cost (USD)$5,000 - $100,000

Licensing and supervision are conducted by the Texas Department of Banking, which oversees money services businesses including virtual currency providers.

Enforcement Activity

Level: Moderate

Enforcement focused on unlicensed operators and consumer protection

AML / KYC

KYC RequiredYes
Travel RuleYes
FATF MemberYes
FATF Statuscompliant
FATF BodyFATF
Suspicious-Activity ReportingYes

DeFi, Stablecoins & NFTs

Status: Legal

DeFi activities are generally legal and operate under existing financial regulations without specific prohibitions.

Stablecoins

Status: regulated

Stablecoins are regulated under the Texas Money Services Modernization Act and related financial regulations.

NFTs

Status: no_rules

No specific NFT regulation

Mining

LegalYes
Electricity Cost$0.06/kWh
Renewable Energy20%
Infrastructureexcellent

Texas has a robust electricity grid managed by ERCOT with specific mining registration rules enacted in 2024 to regulate crypto mining operations.

Geopolitical Risk

Stabilitystable
SanctionsNo
Corruption Index67/100
Banking Accessopen
Sanctions Program ActiveYes

Risk Factors

Texas is a politically stable state within the US with a strong infrastructure base and open banking environment favorable to crypto businesses.

Recent Political Events

Sources

Frequently Asked Questions

Is cryptocurrency legal in Texas?

Texas maintains a legal and regulated environment for cryptocurrency activities under the Texas Finance Code and the Texas Money Services Modernization Act. The state has specific legislation addressing virtual currency and mining, including the Strategic Bitcoin Reserve Act and ERCOT Mining Registration Rules.

What is the FATF status of Texas?

Texas is classified by FATF as: compliant.

Are VASPs licensed in Texas?

Yes, licensing is required for VASPs.

What is the AML/KYC regime in Texas?

KYC is mandatory for crypto businesses.

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Last reviewed: 2026-09-25 · Data source: Soken Crypto Legal Map

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