Behind a Texas bill, a push to make gold ‘functional money’

More than 50 years after the United States abandoned the gold standard, Texas lawmakers are moving to bring precious metals into everyday use.

- Trevor Bach, Tribune News Service

The new legislation, House Bill 1056, aims to give Texans the ability, likely through a mobile app or debit card system, to use gold and silver they hold in the state’s bullion depository to purchase groceries or other standard items. The bill would also recognise gold and silver as legal tender in Texas, with the caveat that the state's recognition must also align with currency laws laid out in the US Constitution. “In short, this bill makes gold and silver functional money in Texas,” Rep. Mark Dorazio, R-San Antonio, the main driving force behind the effort, said during one 2024 presentation. “It has to be functional, it has to be practical and it has to be usable.”

After picking up major amendments in the Senate aimed at ensuring the legislation complies with existing laws — most notably, the Senate nixed language from an earlier version that sought to establish an entirely new digital currency based on the metals — the proposal cleared both legislative chambers late last week, and was sent to the governor's desk on Sunday. Governor Greg Abbott does not appear to have indicated whether he intends to sign the bill. In a statement, Abbott's press secretary, Andrew Mahaleris, said the governor “will thoughtfully review any legislation sent to his desk.” Dorazio and state Sen. Bryan Hughes, R-Mineola, who authored a companion bill in that chamber, did not respond to requests for comment.