The Texas Bullion Depository Bill was signed into law by Governor Greg Abbott on June 12, 2015, officially establishing the first ever state-administered precious metals bullion depository (HB 483; originally filed and submitted by Rep. Giovanni Capriglione (R - Southlake)). The establishment of the Texas Bullion Depository creates an official depository operation by the State of Texas, with depository services provided by Lone Star Tangible Assets of Austin, Texas.
"Today I signed HB 483 to provide a secure facility for the State of Texas, state agencies and Texas citizens to store gold bullion and other precious metals. With the passage of this bill, the Texas Bullion Depository will become the first state-level facility of its kind in the nation, increasing the security and stability of our gold reserves and keeping taxpayer funds from leaving Texas to pay for fees to store gold in facilities outside our state." - Texas Governor Greg Abbott
The law provides for a depository administrator who is charged with oversight of the depository operations to ensure compliance with the law. The Comptroller of Public Accounts appoints the depository administrator. You can learn more about the creation of the depository, the launch of future services and how the depository will be administered by reviewing the links below.
Tangible asset owners often find it challenging to securely store their precious metal positions in a way that properly accounts for these assets. In addition, it can be difficult or expensive to acquire insurance for their holdings. Private depositories have historically provided an alternative for the safekeeping of valuable assets, but account holders are putting their trust in the hands of private management. The Texas Bullion Depository leverages significant industry experience, systems and procedures while the Comptroller of Public Accounts provides oversight to ensure the operator meets the standards established for the program.
The legislation that authorized the creation of the Texas Bullion Depository ensures governance and accountability are always at the forefront of depository operations – features that don’t exist at other private depositories in the United States and abroad.
The Comptroller of Public Accounts selected Lone Star Tangible Assets of Austin, Texas, to manage the Texas Bullion Depository day-to-day operations.
Lone Star Tangible Assets was selected because they bring more than a decade of operating experience to the project, having created one of the first fully enabled e-commerce precious metals companies in the industry. Through its operating companies, Lone Star Tangible Assets has served hundreds of thousands of customers across the United States and around the globe. Its team brings tested technology as well as a safe and secure operating environment for depository clients.
In addition to direct oversight by the depository administrator, Lone Star Tangible Assets will undergo detailed annual audits of its entire operations and provide reports to the Comptroller for review and verification.
The Texas Bullion Depository will offer services in a phased approach following an established schedule.
Check TexasBullionDepository.gov frequently for new information on the Texas Bullion Depository and new services as they become available.
Phase 1 establishes the ability for Depository Account Holders and Depository Agents to open accounts with the depository. This process is currently in development and will be available in early 2018.
Concurrently, Lone Star Tangible Assets will begin constructing its new 60,000-square-foot secure depository facility on a 10-acre campus. The facility is anticipated to be located in the Austin, Texas, area, within driving distance from the Texas Capitol and the Comptroller’s office.
Phase 2 will focus on establishing services for large institutional Depository Account Holders and state agencies to establish accounts with select Depository Agents. We plan to work with a major banking partner capable of providing COMEX metals positions and high value liquidity for metal holdings stored in the State of Texas at the depository.
Phase 2 services are slated to become available early in 2019, around the time the new Texas Bullion Depository facility is opened.
Phase 3 plans are to include advanced offerings, such as storage for international clients and non-U.S. government agencies.
Please check TexasBullionDepository.gov frequently for new information as it become available.
To create the world's most advanced depository, Lone Star Tangible Assets has assembled a team of experts to advise on the design, construction and operations of the Texas Bullion Depository – including veterans of the precious metals industry, a former director of the United States Mint, veterans of the United States Military, and a former SWAT team leader. The Texas Bullion Depository team spans a wide range of skill sets and knowledge from business operations, network security, facilities management and financial services.
The depository will be established in three initial phases.