Physical Metals Enter the State Economy: Texas Unveils Official Bullion Program
Summary
State Gold Programs: Texas launched state-branded gold and silver bullion integrated with its state depository and a .gov sales channel, signaling potential institutionalization of precious metals at the state level.
Precious Metals Demand: Central banks, state treasuries, and retail buyers are all increasing physical purchases, with gold near $5,100 and silver above $83, driving tighter supply and longer lead times.
Gold as Treasury Asset: Basel III favors physical over paper gold on bank balance sheets, and allocations like 60/20/20 (equities/bonds/gold) are discussed as gold increasingly substitutes for bonds.
Critical Minerals: U.S. policy support, including a proposed purchasing floor and DoD-backed processing capacity, underscores a strategic push into metals infrastructure amid geopolitical competition.
Supply Tightness: Europe faces potential Q3 strain as vault withdrawals and flows to the U.S., China, and India rise, while fabrication bottlenecks and higher premiums emerge.
State Adoption Trend: Wyoming has begun state gold purchases, Utah recognized gold as legal tender, and more states are exploring bullion programs and tax/regulatory competition.
Market Risks: Policy uncertainty (e.g., U.S. collectibles tax), potential export controls, and mining/recycling constraints for silver, platinum, and palladium could amplify volatility.
Companies Mentioned: Scottsdale Mint manufactures Texas’s coins, and large banks (e.g., JP Morgan) are active in metals allocation and infrastructure, though no specific equities were pitched.
Transcript
Welcome back. This is a Kitco news exclusive because today is February 11th, 2026 and the state of Texas officially launched its own state branded gold and silver products. Now, we're the first to carry these details and bring it out of this roll out directly from the capital in Austin. At a press conference moments ago, state officials confirmed a suite of Bullion products that will be sold through the Texas comprollers office and integrated with the Texas Bullion SP depository rather. Now, that's the first state-run precious metals vault in the country. And at the same time, the gold market is rallying sharply here today with pushing spot just about $5,100 on uh the spot level. Now, it looks like Texas is moving from simply storing wealth to actively distributing it. So the question here for investors is, is this primarily commemorative branding or is Texas institutionalizing gold and silver ownership at the state level in a way we haven't seen before? Now joining us from the capital, fresh out of that press conference is of course Josh Far, CEO of Scottsdale Mint. He's the manufacturer behind the program. Uh thanks for making the time for this scoop, Josh. >> Yeah, thank uh thank you as well uh to be back on again. >> Now listen, let's start with the basics. I mean, big historical day. Uh, you were just there at the press conference. Obviously, you're a big part of this program and again, we appreciate you coming on before it's dropped onto the wires. Tell me what exactly the state of Texas put on the table today. >> Yeah, so they're they're a little different than your average state. Uh, I think it'll be historically Texas has taken a leadership position. I mean, it used to be the Republic of Texas. It has special constitutional rights that the other states don't have. So, you know, a number of years ago, they they launched the Texas Bulling Depository. So, it's a a state-run uh state-owned um gold vault. And so, very very interesting. And I think one of the things is the legislators actually for for quite a while have been asking the state to issue coins um and when when are they going to do that? And I think the state answered that call um that they had been hearing in the legislature uh and and they have done what we would call or what they would call official commemorative coins. And so they are not legal tender. So they're not the Federal Reserve issuing, you know, dollar currencies on there. Um, but I I view this as to me it seems it's it's definitely a promotional item to promote what's going on uh at at at the vault. And but at the same time, you know, the trend has been that a lot of states are getting very active with new bills uh new regulatory things that are coming forth uh revolving around precious metals. So I I kind of see this as just an evolution of of just how precious metals are becoming uh part and parcel into society once again. >> Yeah. Yeah. Not it feels like it's not just the debasement trade anymore. Um let's talk about distribution. I mean we're hearing that the controllers's office will facilitate sales. Does that mean you know a Texas resident can go to a state website, purchase gold directly and and choose to vault it at the Texas Bullion depository? I mean walk us through the step by step through the mechanics here from purchase to custo. I I'll add a little disclaimer because my company Scott Mint, we're simply the manufacturer of the product. So, I'll kind of I'll hopefully I get this get this uh fairly correct. Um you are correct through the controllers office. Um they they are the ones who run their bull depository. Uh they're the ones that contacted uh Scott Mint uh and and provided designs for us to produce uh of these these these coins with. Um so it's I believe going to be sold a few different ways. It's going to be out into the entire Bullion Precious Metals network. So, I'd say the vast majority of precious metals retailers, really all over the world, will be carrying this product. Uh, and they will also be selling it on a.gov website, which I don't know if we've ever seen anything like this before, at least in the United States. Um, you have seen, um, obviously limited versions, commemorative proof, uh, stuff from the US Mint, uh, but not on the bullion side. So, this is definitely going to be be pretty interesting to watch. So they're they're launching it's a two it's a a two coin set um two versions of gold actually and two versions of silver are being launched in a 1 oz. So there's a proof uh and then there's a BU a brilliant uncirculated version. A lot of this because of the historical nature. I personally don't know of any US state that has issued any type of of coins uh in modern history. So a lot of this is going off to the grading services. This is going to be you know something that's going to be really quite treasured. uh and sought after. Uh and then I think it's going to open up into a much broader, bigger program longer term. They're even doing, if you've heard of the gold backs, you know, and my company is not producing those. Uh we just do the the gold and silver coins, but they're actually doing gold bills as well. So, official state of Texas bills. So, this is again very very historical. I think it's it's signaling to the market. I mean, you can take it for what it is. Whether that's a promotional item for vault storage, I think consumers can pay attention to that the precious metals, they're top of mind for a lot of people. The central banks are buying it. Governments are now all gobbling it up the the physical material. Um the insurance companies in China are being told by their government, you need to hold gold. We're just seeing a continuous movement non-stop towards metal, a desire of ownership of of metal in various forms. >> Yeah. Yeah, you know, I mean, to your point, Josh, I mean, you've had some wins. You work closely with Wyoming on its state precious metal initiatives. Can you compare what kind of Wyoming has done with gold, including its recent state purchases and and reserve strategies to what we're seeing from Texas today with the state vault and direct bullion distribution? >> Yeah. So, I I first testified just over three years ago. I I'd just moved to Wyoming uh at the state legislature and in Wyoming at in Cheyenne at the capital. And what was being discussed was a goal bill. So, you know, obviously states can invest in various things, but often times the people sometimes have to vote in and push bills uh to tell the state what to do. And in the case of Wyoming, that bill finally did pass in 2025. And so, it's uh as as as you mentioned, um my other vaulting operation, the Wyoming Reserve, was named as a finalist along with JP Morgan. Uh I believe it was late last year. Uh and then and then um the the the David vers Goliath essentially story. So uh David did win uh here. So you're right, the state bought its first physical gold and so when you look at the state of Wyoming though, you know, they're sitting on this is out of a $33 billion trust uh that they invest in all kinds of things. So they can they can pick and choose what they would want to invest in. And now, you know, I'd say the plumbing is in for the physical metal. And something viewers should pay attention to is the new Basel 3 changes in banking rates. So if a bank is owning paper product of gold, it's considered 75% risk-free on their balance sheets. If they own the physical item, it's 100% risk-free on their balance sheets. So I think what we're watching here is is, you know, precious metals are being viewed as a treasury asset at at a minimum. Uh, you know, people are holding it. Um, you're seeing Poland going up to 37% here in 2026. 37% of their balance sheet will be gold. Um, and I believe a third of whatever they're buying, I think, is going into New York. And so people are diversifying away from the US dollar. And then they go, well, what other currency do you really trust out there? Uh, the EU has a lot of problems. Obviously, I think, you know, uh, you could look at China and say, I don't feel too comfortable with it, which is also why they're using gold as settlement layers now as well. So really the world is moving towards a trustless uh commodity that people want to own and they want to hold. And so I think the state of Wyoming does show I know um I'm getting contacted by a lot of you know big news media outlets going what is going on with the states and I said pay attention there's going to be more bills being run. Uh the United States has a lot of states that have zero gold. Almost very few of them have any. Some have some. We saw Utah last year bought uh bought gold as well. And so when you look at central banks, the guys that had zero, they're going to 1 to 3% allocation. The 1 to 3% allocations are going to 5 to six and and beyond. And so I I could see so you take a state like like Wyoming who's got I think they have about 50 billion in liquid assets, but I think in that mineral trust alone, 33 billion. So if they start doing these applications similar to the central bank, suddenly the US states become a huge player in the gold market. >> Um and then it'll be interesting. Do they start looking at silver? We've seen, you know, Russia look at silver. Poland is now talking about looking at silver as again another treasury asset. Definitely not the same monetary uh strength of gold in the same sense, but is it something to invest in? Obviously, we had JD Vance uh just just a few days ago announced um Critical Minerals 12 billion that they're owning and silver's on that list. Uh so it's there's no doubt that um really entities at all level are clamoring for for this uh for these precious metal products. >> Yeah. I mean it's it's pretty wild news because if Wyoming is kind of the the sovereign buyer model and Texas is is the sovereign distributor model. I mean does this signal a broader evolution in how states approach physical me metals? >> You know that's a good that's a good take. I I I would say, you know, I was in in the state capital. I was talking. I always look at Wyoming. Wyoming and Texas are like brothers. Now, Texas is the big brother, right? By far. Uh but they're very similar. They both have a heritage of energy. Uh and very and very if you look at the politics historically, um the governors are typically very aligned and so it is very much a uh Texas is I think the is the number one energy exporter. Wyoming is number two. So if we start looking at strategic resources uh all across you know really the spectrum these are very critical states uh for the US economy the GDP and as we look at look at your your country Canada Alberta you know kind of carries that that same weight and is the vast majority of the GDP of Canada so those strategic I think um you know if we want to look back uh if you want to take a movie like Hunger Games we start looking at districts uh who who provides the the most um let's say assets in in in for the state and who's actually sucking the resources out. It's kind of interesting to watch this take place. So, we're seeing some of the stronger states um they're they're allocating. The weaker states who have unfunded liabilities uh their businesses are leaving. So, you know, I think you know, pay attention to the sound money uh rankings of states. You know, Wyoming is number one. Um I I forget where Texas is on on the list and but they got an awful lot of people to deal with. But there's definitely a trend I think that these states are are are you know some of them are starting to lead you lead from the front. >> And if if you read if you if if you've ever spent any time in and watching any of these bills being run in any state, the big big problem that all states have right now is finance. >> Things are broken. Their budgets are broken. The expenses to do something new and road repairs, everything's broken. And the reality is is who should we be blaming for this? And you know, we've talked about as the government, federal government continues to spend money and print money, you know, they're diluting the monetary base. And this is happening all over the world. This isn't exclusive to the United States. >> So these are these are really big big problems. >> Yeah, absolutely. I mean, if if if states become consistent allocators to gold, are are we talking about kind of an episodic headline purchases or reoccurring policydriven allocations, you know, that are similar to sovereign wealth funds? Uh I I you know you take take Wyoming for example they'd be a top 20 sovereign wealth fund in the world if they were in that category. So yeah I think you know I'm going to be on a panel with Joe Cavaton at the World Go Council next week in Florida and he and I have been really looking at this this arena for quite some time. There's no doubt that US states are going to play a very very very big role in precious metals and gold in particular going forward and they they are absolutely if you take if you look at these states they're bigger than most of these other countries. So we start looking at you know each some of these European guys uh you know you look at the GDP of a lot of the US states they're they're they're they're enormous. So those types of players stepping into the physical market not buying derivative products is going to absolutely be gamechanging as we go forward. Yeah, I mean Texas isn't alone. I mean, we talked about Wyoming's gold purchases for the state reserves. Utah recognize gold as a legal tender. I mean, you've worked with Wyoming. Why are states increasingly, I guess, engaging physical gold in 2026? I mean, is this driven by inflation memory? Is it balance sheet diversification? Or is it a desire to keep metal within the state's border? >> All I would say all the above. And and there's no doubt as things are breaking down, we're looking at constitution. So, you know, we start looking at the US federal constitution, then we start looking at state constitutions, gold is critical, and actually it's in almost everyone's constitution. That that should be the only form of money. And so, we have been, you know, in the United States, the the gold tie was officially broken by Richard Nixon in the early '7s. So, we're just past 50 years of experiment. And I think some people are asking, hey, a lot of these problems are here on the table. And now now that gold is outperforming, you know, I was in some of these these these these uh these hearings and people are talking about, well, you know, the S&P and then bonds, they're doing better than gold. No one wants to buy the loser. Well, now that gold is outperforming bonds at every level. Gold has now replaced bonds except it doesn't have it just doesn't have that income component. However, you start looking at your return component. Who cares about the income? So gold is literally replacing it on the balance sheets and now you got places like JP Morgan suggesting a 60 2020 allocation. So uh 60 equity, 20 bonds and 20 gold. So states are underallocated. So I think I think it's a combination of performance. It's it's a combination of problems that you're seeing and then they're going back to the constitutional roots. They're going back to the historical roots of of of what what the founding fathers intended for our, you know, our our union uh in the United States and and obviously there's a lot of frustration and there's frustrating times ahead. Not that gold solves everything. Uh but there's no doubt I think, you know, we can look at you look at the central banks that sold off their gold and have only seen it rise tremendously. You know, those politicians aren't in power anymore. So, uh and you look at other places that have added to gold, they're now rock stars. So Poland's becoming an elite nation, you know, monetarily, you know, they're they're stepping into the arena and they're going to have a seat at the table going forward. >> You know, across the country, we're seeing states eliminate sales taxes on bullion purchases. Some still impose them, of course. Are we entering, you know, a phase where states compete on precious metals tax? I mean, if if Texas is institutionalizing bullion access, does it follow that tax policy eventually has to evolve, too? >> Yeah. And there there's obviously some nonprofits out there that have been working with the states over the past number of years to say you shouldn't tax an investment. >> And you're seeing almost I would say very very few states or even left uh that that do taxes and the ones that do should be getting hammered. So, uh, they should be absolutely hammered because they're losing, you're right, they're losing business. And the old adage of go where you're treated best is very, very true. And, and I do I do think, you know, states like Florida, they canceled everything. And I would say, you know, Florida, you know, with Dantis, are they going to step in uh in into something, you know, in the future, you know, related gold and silver, right? I think people are watching what Utah, Wyoming, and now with this news of what what the state of Texas is doing. I think these other state legislators maybe maybe maybe they maybe they have a little bit more ump to actually want to take this all the way and say hey our state needs to lead too and and there's there's no doubt that that I think that's going to be the trend. >> Yeah. This is interesting because it kind of brings up that national conversation too. I mean you know right now the IRS treats gold and silver as collectibles with a higher capital gains rate than equities as you know. If if states start building infrastructure around metals, do we see pressure eventually built at the federal level to rethink that classification? >> It depends if uh the government wants citizens to own it or not. >> Right? >> So I I think you know we've seen you just take other nations like India. They'll they'll move the tax up and down depending on how much money is being sucked into precious metals uh versus how much is circulated. Uh so could the US also do the same thing? So you're right. It's 28% um is is the collectible tax rate on on gold and silver even though it's considered a monetary instrument on behalf of the central banks. So I mean silver clearly is is more of a of an industrial commodity with a historic monetary component. Um so it's possible that the US government could always look at reclassifying how that works. But you know they say that's an act of Congress and so you know uh as a joke um it takes an act of Congress to do something like this. So I is it going to happen tomorrow? Probably not. >> Yeah. Um I got to ask you, I mean I you might not be able to answer it, but are other states actively in discussion right now without naming names, is this the beginning of a broader state level kind of metals build out? >> Yes, I'll I'll leave it there. I Yeah, it's there it's beginning. Um you know, phone calls are coming in. Uh obviously, you know, my my my comp one of my companies, Scottdale Mint, as as a producer for for many foreign nations. Uh so I do a lot of the British Commonwealth, a lot of their coinage. Uh and and obviously the US Mint only produces stuff, you know, on behalf of the for the US Treasury. So So as for outsourcing, so yeah, we're we're we're we're keeping busy and I think a lot are looking at what's going on also physical gold storage, uh and what and kind of what's going on. And so what what you're seeing I think with with Wyoming and then and now now Texas stepping forward as well is is is uh I think indicative of what is going to be continued. >> Yeah. So the state wants their uh their medals inside those state lines is what it sounds like. >> It's no different than any type of business. It's no different than the airport. They they you know that a lot of these you know the international airports they have the duty-free sections before you leave. They want to keep the capital in their in their country before you fly away. And so this this is this is what same thing with cruise ships. Same thing, you know, at the ports. Um and so absolutely they want you to buy gas in their state. They want you to hotel, you know, and that and that creates obviously business income and revenues for for the local communities and and the state. So there's no doubt that, you know, there's there's there's a consideration. I mean, think about like Delaware, you know, historically they went after LLC's. you know, Wyoming actually invented the LLC and and uh Delaware did a much better job marketing it. And now I think you're going to see, you know, and I put out a post on X that Wyoming is going to be a major player in finance and banking. You're going to see some huge enormous players uh coming to the arena. And what is banking and finance going to look like 10 years from now? There's going to be so many changes. And so I would say, you know, the state of Wyoming has a regulatory. So you've seen Kraken just moved their headquarters. uh there's there's going to be there's going to be more of the custodian platform. They're going to come there and that's because of the regulatory and tax environment. Um it's it's open for business. Um and and you're definitely going to see continued states competing with each other for for the future. >> Yeah. I mean, it feels like we saw that, you know, it used to be very trendy to be in California years ago. Now we see that exodus out of an overregulated state. Um I guess it's just about control and freedom. That's what we're seeing. >> That's right. you know, in in in California, it's called the weather tax. It's a wonderful place to to be. It's a hard place to live now. And so, you know, you have to, you know, businesses are now making that evaluation and say, "Hey, let's move, you know, somewhere else." Obviously, Florida, Texas, and and and Tennessee have been some of the biggest winners, you know, in terms of of bodies just leaving California and New York. Um, you know, any I was just in Miami over Christmas. The amount it feels like a small Manhattan now, you know, in terms of off off Bickl. So you're you're just seeing the these just big big changes and I think you know Miami's got a big role to play in the in AI. You know that data feed cable comes right in right out of the ocean uh right into Miami to the United States. So there's going to be some major players there. So you know Texas is launching its own stock exchange to compete with New York. I mean, look, there's just so many changes, not to mention, you know, what what's going to happen as we fractionalize, digitize, uh, and put things onto the blockchain. Um, you know, what with AI, I'd say it's an opportunity for great gains and great losses. >> Yeah, well said. Uh, I know you can't give us everything. I can see it in the smile there. But let's just, uh, let's wrap up with a bit of a reality market check because I mean, you know, gold today trading near $5,100, up over a percent. Silver still outperforming with the sharp rally uh almost at three here over $83. I mean from a manufacturer standpoint are you seeing elevated state level demand contribute to longer lead times or higher fabrication premiums >> both? Yeah, you know one of the talk I think I talked maybe about a year ago this time I said hey right now it's basically governments and banks are the only ones in in heavy demand. retail is pretty quiet, but if retail steps up, that's when you've got multiple uh multiple uh groups clamoring for the same asset, and that's what makes prices go up. And that's exactly what we're seeing. And now the retail demand, you know, really picked up worldwide right around Christmas. And and so I'd say the good news is at least here in the United States is we've got access to plenty of of raw material at this time. But I do know there's places like Europe, they are very concerned about Q3. So, you know, they just look at kind of the flow of metal in and the flow of metal out. And so, while they have metal there now, they're concerned, you know, a few months out. Are we going to have that steady supply uh to continue on? So, yeah, lead times are lead times for the retail product, uh, which I would say, you know, 100 bar, coins, uh, those types of things are because of the the demand is so big, they're they're definitely pushed out. It's the most we've seen probably since Silicon Valley Bank um, 3 years ago. Wow. >> So yeah, it's uh it feels a little it's not to the level of co but you know uh my companies are seeing record you know January was record months ever in in our in our in our history. So >> you know this this is definitely impacting the world and and I could say it's it's not just one country it's all it's all of them. So you know the amount >> to Southeast Asia it's just non-stop that they they're clamoring for this metal. When you talk about Europe there though, I mean is is is this tied to European bank balance sheets and Basil 3 implementation timelines or is it about physical demand? You know, vault withdrawals and central bank buying. >> I'm going to go with more vault withdrawals in Europe. So Europe is seeing a lot of the metal leave. So it started last year coming to the US and then it's going to China. Those are those are those are the two biggest players and obviously you know India's India is a big puller of metal as well. Those are the major markets that I think are putting stress on the Europeans. Uh and now you've got Trump out there, you know, cutting new deals. You know, you've got, you know, a battle under above, uh above ground, you know, we're talking about right now. Then there's a battle below ground for the mining resources. So, you're seeing obviously Venezuela, that was a huge component of what's going on. China is now getting squeezed a little bit through their Latin American trade routes. Um, and so the US is competing more for for that raw material feed stock, not just people just you kind of look at what you have today. It's really it's it's what's coming what's coming over the next few years. And so right now those battle lines are are literally being drawn. >> Yeah. >> And bought over and and you're seeing, you know, come banks like JP Morgan, you know, they just, you know, the the the 7 billion dollar zinc smelter um in Tennessee that obviously has a lot of silver byproduct. It's got a lot of earth minerals. $2 billion from the Department of War was put in. So that was a stateowned, stateinvested capitalistic company. Very Chinese-like, right? And I think while the US is not adopting the Chinese model completely, they kind of have to with the critical minerals because of probably what we're facing, which is, you know, some sort of global conflict. >> Yeah. So it feels like those major banks are increasing exposure to physical metals infrastructure quite broadly. >> Uh yeah, and then the banks represent clients. So where do bankers usually get their ideas? It's it's what they're seeing from their client demand. No different than me. I can I can now talk to you because I'm I've I'm seeing what's happening behind the scenes. Same thing with a lot of the bankers. You know, they're representing, you know, it's mercantile banking, so they're representing, you know, government entities. Uh, and we saw JD Vance talk about he's they're putting the US government's putting a floor on critical minerals and we're all trying to figure out what is that what is what's the floor? We don't know. My guess is the floor is whenever it dips below a price the US government's the buyer. >> Yeah. >> So that they're stepping in and buying these things. So this is this is I I'd say what we're going through now is not going to stop. >> Yeah. We're only just seeing, I think, early stages of it. And, you know, um, gold is not a trade. It's an entire paradigm. There's a new order. There's a it's it's a whole new like finance is changing in front of our eyes. And it feels like those that have been watching Gold and Silver, you're like, "Oh, yeah. Yeah. I've heard this. Now, we're watching it unfold." And it's going, it's really going in slow motion, but you see these things fast happening. And that's why, you know, the electric sparks uh on the charts right now, I think, are going to look like a pimple long term. >> Yeah. Yeah. You and I discussed that before. I mean, definitely a lot of tailwinds behind the metals. Uh you said something there that was interesting. I mean, are you seeing forward orders that suggest Q3 delivery strain? I mean, the word squeeze is circulating again. Is there a genuine tightness in the physical market or are we simply seeing isolated bottlenecks at the minting level? Um there are some bottlenecks out there and I I do think do you have access to the right material that you need in the right the right location and so you know the United States is kind of a benefit a beneficiary that it has a lot of high-tech manufacturing still for for precious metals. So a lot of precious metals is shipped to the US, from Latin America, uh from from Southeast Asia, you know, from Europe because the demand for the material just on the industrial side is so big. Um there are some places I think some some countries uh that maybe there the choke there's some there's some concerns of like their flows maybe not quite as dynamic or diverse um that are that are going to see some some problems. And if you are competing often the door out of a mine site and those contracts come up for renewal and it changes uh that they you got to go find that flow from another another another nation another country another another mine. Uh so you know you're seeing a lot of people are clam you know they're trying to get escrap going. Uh you're seeing you know that's a you know the recycling industry has to get more efficient uh to keep up with. I know that's a big big problem in platinum uh platinum and palladium. there's not enough recycling of that material. Frankly, there's not enough there's not enough coming out of the mines in South Africa. Uh, and this is why platinum has gone up so much in price and we may see some sort of import export control all over the world for some of these minerals uh as we go forward. >> Yeah, what a time. What a time. I mean, you've been doing this a long time. Very interesting. And I guess it, you know, it brings me to that to that question. If if Texas is the beginning, not the end. I mean, what does that look like in three to five years? Are we talking about multiple states maybe launching bullion programs, formal state reserve allocations, maybe some regulatory competition around? I mean, it feels like this doesn't stop in Austin. >> It doesn't. It doesn't. As this is a new paradigm, this is like precious metals are going to be so critical, so important um in in the world, in commerce, in banking. um everything's changing and it's changing like I mentioned it's like it's it's going in spurts but it's in slow motion and so I I view this as this is the decade of change and you know you hear the terms monetary reset what is what do these things mean gold's got a role to play in all this so you know you you you got to have in my opinion if you don't have exposure to this this asset class uh you're you're potentially going to miss out on on something incredibly uh big and and so yeah this it's all going to it's all going to change and I think you know companies that are involved in gold could be the future kingpins of of the banking world and you just become you're a critical you're a critical component uh to what to what's going on and I think that's why the US government is now investing in certain asset classes whether they're buying the physical material or they're investing in the companies themselves. >> Yeah, I was going to ask you that. I mean to wrap up you kind of answered it there but I mean from you know five years from now what what does success look like for this Texas program? Is it kind of volume? Is it adoption? Or is it legislative expansion? >> You know, I can't speak uh you know what what what what on behalf of the state and again because I'm just I'm just the manufacturer with them, but I think there's people want to lead. I'd say leaders leaders want to lead and I I I so I see the state of Texas as they they want to be a leader. Uh they want to be a leader. Um where it what it looks like in five years, who knows? Is it competing with like a Royal Canadian Mint product one day at that at that size and scope and importance? I'd say perhaps. You know what I would say? So, this it's not something scary. I think it's something to embrace. It's something it's something really exciting because this is we're returning to the roots of like what our entire monetary system used to be all about. So, um yeah, it's a it's this is extra special uh to watch this and be part of it. Yeah, absolutely. Historical uh day for the industry. Okay, we'll let you go there, Josh. Thanks for joining us. Of course, Josh Ferry is the CEO of Scottsdale Mint uh in Austin following that state of Texas press conference. Uh exciting day for you, mate. Congratulations. >> Yeah. Well, thank you Jeremy and the team at Kitco and look forward to catching up soon. >> All right, I appreciate that. This is a Kiko news exclusive. Texas now operates a state vault, distributes state branded bullion, and connects directly with consumers through the controllers's office. Now, whether this remains primarily commemorative or evolves into deeper infrastructure will depend on what lawmakers do next. It keeps tuned here right here to KCO News. We're going to have more on this story, including more on the economic data coming out this week, too. Don't forget to subscribe. I'm Jeremy Saffron. Thanks for watching. Heat. Heat.
Physical Metals Enter the State Economy: Texas Unveils Official Bullion Program
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Welcome back. This is a Kitco news exclusive because today is February 11th, 2026 and the state of Texas officially launched its own state branded gold and silver products. Now, we're the first to carry these details and bring it out of this roll out directly from the capital in Austin. At a press conference moments ago, state officials confirmed a suite of Bullion products that will be sold through the Texas comprollers office and integrated with the Texas Bullion SP depository rather. Now, that's the first state-run precious metals vault in the country. And at the same time, the gold market is rallying sharply here today with pushing spot just about $5,100 on uh the spot level. Now, it looks like Texas is moving from simply storing wealth to actively distributing it. So the question here for investors is, is this primarily commemorative branding or is Texas institutionalizing gold and silver ownership at the state level in a way we haven't seen before? Now joining us from the capital, fresh out of that press conference is of course Josh Far, CEO of Scottsdale Mint. He's the manufacturer behind the program. Uh thanks for making the time for this scoop, Josh. >> Yeah, thank uh thank you as well uh to be back on again. >> Now listen, let's start with the basics. I mean, big historical day. Uh, you were just there at the press conference. Obviously, you're a big part of this program and again, we appreciate you coming on before it's dropped onto the wires. Tell me what exactly the state of Texas put on the table today. >> Yeah, so they're they're a little different than your average state. Uh, I think it'll be historically Texas has taken a leadership position. I mean, it used to be the Republic of Texas. It has special constitutional rights that the other states don't have. So, you know, a number of years ago, they they launched the Texas Bulling Depository. So, it's a a state-run uh state-owned um gold vault. And so, very very interesting. And I think one of the things is the legislators actually for for quite a while have been asking the state to issue coins um and when when are they going to do that? And I think the state answered that call um that they had been hearing in the legislature uh and and they have done what we would call or what they would call official commemorative coins. And so they are not legal tender. So they're not the Federal Reserve issuing, you know, dollar currencies on there. Um, but I I view this as to me it seems it's it's definitely a promotional item to promote what's going on uh at at at the vault. And but at the same time, you know, the trend has been that a lot of states are getting very active with new bills uh new regulatory things that are coming forth uh revolving around precious metals. So I I kind of see this as just an evolution of of just how precious metals are becoming uh part and parcel into society once again. >> Yeah. Yeah. Not it feels like it's not just the debasement trade anymore. Um let's talk about distribution. I mean we're hearing that the controllers's office will facilitate sales. Does that mean you know a Texas resident can go to a state website, purchase gold directly and and choose to vault it at the Texas Bullion depository? I mean walk us through the step by step through the mechanics here from purchase to custo. I I'll add a little disclaimer because my company Scott Mint, we're simply the manufacturer of the product. So, I'll kind of I'll hopefully I get this get this uh fairly correct. Um you are correct through the controllers office. Um they they are the ones who run their bull depository. Uh they're the ones that contacted uh Scott Mint uh and and provided designs for us to produce uh of these these these coins with. Um so it's I believe going to be sold a few different ways. It's going to be out into the entire Bullion Precious Metals network. So, I'd say the vast majority of precious metals retailers, really all over the world, will be carrying this product. Uh, and they will also be selling it on a.gov website, which I don't know if we've ever seen anything like this before, at least in the United States. Um, you have seen, um, obviously limited versions, commemorative proof, uh, stuff from the US Mint, uh, but not on the bullion side. So, this is definitely going to be be pretty interesting to watch. So they're they're launching it's a two it's a a two coin set um two versions of gold actually and two versions of silver are being launched in a 1 oz. So there's a proof uh and then there's a BU a brilliant uncirculated version. A lot of this because of the historical nature. I personally don't know of any US state that has issued any type of of coins uh in modern history. So a lot of this is going off to the grading services. This is going to be you know something that's going to be really quite treasured. uh and sought after. Uh and then I think it's going to open up into a much broader, bigger program longer term. They're even doing, if you've heard of the gold backs, you know, and my company is not producing those. Uh we just do the the gold and silver coins, but they're actually doing gold bills as well. So, official state of Texas bills. So, this is again very very historical. I think it's it's signaling to the market. I mean, you can take it for what it is. Whether that's a promotional item for vault storage, I think consumers can pay attention to that the precious metals, they're top of mind for a lot of people. The central banks are buying it. Governments are now all gobbling it up the the physical material. Um the insurance companies in China are being told by their government, you need to hold gold. We're just seeing a continuous movement non-stop towards metal, a desire of ownership of of metal in various forms. >> Yeah. Yeah, you know, I mean, to your point, Josh, I mean, you've had some wins. You work closely with Wyoming on its state precious metal initiatives. Can you compare what kind of Wyoming has done with gold, including its recent state purchases and and reserve strategies to what we're seeing from Texas today with the state vault and direct bullion distribution? >> Yeah. So, I I first testified just over three years ago. I I'd just moved to Wyoming uh at the state legislature and in Wyoming at in Cheyenne at the capital. And what was being discussed was a goal bill. So, you know, obviously states can invest in various things, but often times the people sometimes have to vote in and push bills uh to tell the state what to do. And in the case of Wyoming, that bill finally did pass in 2025. And so, it's uh as as as you mentioned, um my other vaulting operation, the Wyoming Reserve, was named as a finalist along with JP Morgan. Uh I believe it was late last year. Uh and then and then um the the the David vers Goliath essentially story. So uh David did win uh here. So you're right, the state bought its first physical gold and so when you look at the state of Wyoming though, you know, they're sitting on this is out of a $33 billion trust uh that they invest in all kinds of things. So they can they can pick and choose what they would want to invest in. And now, you know, I'd say the plumbing is in for the physical metal. And something viewers should pay attention to is the new Basel 3 changes in banking rates. So if a bank is owning paper product of gold, it's considered 75% risk-free on their balance sheets. If they own the physical item, it's 100% risk-free on their balance sheets. So I think what we're watching here is is, you know, precious metals are being viewed as a treasury asset at at a minimum. Uh, you know, people are holding it. Um, you're seeing Poland going up to 37% here in 2026. 37% of their balance sheet will be gold. Um, and I believe a third of whatever they're buying, I think, is going into New York. And so people are diversifying away from the US dollar. And then they go, well, what other currency do you really trust out there? Uh, the EU has a lot of problems. Obviously, I think, you know, uh, you could look at China and say, I don't feel too comfortable with it, which is also why they're using gold as settlement layers now as well. So really the world is moving towards a trustless uh commodity that people want to own and they want to hold. And so I think the state of Wyoming does show I know um I'm getting contacted by a lot of you know big news media outlets going what is going on with the states and I said pay attention there's going to be more bills being run. Uh the United States has a lot of states that have zero gold. Almost very few of them have any. Some have some. We saw Utah last year bought uh bought gold as well. And so when you look at central banks, the guys that had zero, they're going to 1 to 3% allocation. The 1 to 3% allocations are going to 5 to six and and beyond. And so I I could see so you take a state like like Wyoming who's got I think they have about 50 billion in liquid assets, but I think in that mineral trust alone, 33 billion. So if they start doing these applications similar to the central bank, suddenly the US states become a huge player in the gold market. >> Um and then it'll be interesting. Do they start looking at silver? We've seen, you know, Russia look at silver. Poland is now talking about looking at silver as again another treasury asset. Definitely not the same monetary uh strength of gold in the same sense, but is it something to invest in? Obviously, we had JD Vance uh just just a few days ago announced um Critical Minerals 12 billion that they're owning and silver's on that list. Uh so it's there's no doubt that um really entities at all level are clamoring for for this uh for these precious metal products. >> Yeah. I mean it's it's pretty wild news because if Wyoming is kind of the the sovereign buyer model and Texas is is the sovereign distributor model. I mean does this signal a broader evolution in how states approach physical me metals? >> You know that's a good that's a good take. I I I would say, you know, I was in in the state capital. I was talking. I always look at Wyoming. Wyoming and Texas are like brothers. Now, Texas is the big brother, right? By far. Uh but they're very similar. They both have a heritage of energy. Uh and very and very if you look at the politics historically, um the governors are typically very aligned and so it is very much a uh Texas is I think the is the number one energy exporter. Wyoming is number two. So if we start looking at strategic resources uh all across you know really the spectrum these are very critical states uh for the US economy the GDP and as we look at look at your your country Canada Alberta you know kind of carries that that same weight and is the vast majority of the GDP of Canada so those strategic I think um you know if we want to look back uh if you want to take a movie like Hunger Games we start looking at districts uh who who provides the the most um let's say assets in in in for the state and who's actually sucking the resources out. It's kind of interesting to watch this take place. So, we're seeing some of the stronger states um they're they're allocating. The weaker states who have unfunded liabilities uh their businesses are leaving. So, you know, I think you know, pay attention to the sound money uh rankings of states. You know, Wyoming is number one. Um I I forget where Texas is on on the list and but they got an awful lot of people to deal with. But there's definitely a trend I think that these states are are are you know some of them are starting to lead you lead from the front. >> And if if you read if you if if you've ever spent any time in and watching any of these bills being run in any state, the big big problem that all states have right now is finance. >> Things are broken. Their budgets are broken. The expenses to do something new and road repairs, everything's broken. And the reality is is who should we be blaming for this? And you know, we've talked about as the government, federal government continues to spend money and print money, you know, they're diluting the monetary base. And this is happening all over the world. This isn't exclusive to the United States. >> So these are these are really big big problems. >> Yeah, absolutely. I mean, if if if states become consistent allocators to gold, are are we talking about kind of an episodic headline purchases or reoccurring policydriven allocations, you know, that are similar to sovereign wealth funds? Uh I I you know you take take Wyoming for example they'd be a top 20 sovereign wealth fund in the world if they were in that category. So yeah I think you know I'm going to be on a panel with Joe Cavaton at the World Go Council next week in Florida and he and I have been really looking at this this arena for quite some time. There's no doubt that US states are going to play a very very very big role in precious metals and gold in particular going forward and they they are absolutely if you take if you look at these states they're bigger than most of these other countries. So we start looking at you know each some of these European guys uh you know you look at the GDP of a lot of the US states they're they're they're they're enormous. So those types of players stepping into the physical market not buying derivative products is going to absolutely be gamechanging as we go forward. Yeah, I mean Texas isn't alone. I mean, we talked about Wyoming's gold purchases for the state reserves. Utah recognize gold as a legal tender. I mean, you've worked with Wyoming. Why are states increasingly, I guess, engaging physical gold in 2026? I mean, is this driven by inflation memory? Is it balance sheet diversification? Or is it a desire to keep metal within the state's border? >> All I would say all the above. And and there's no doubt as things are breaking down, we're looking at constitution. So, you know, we start looking at the US federal constitution, then we start looking at state constitutions, gold is critical, and actually it's in almost everyone's constitution. That that should be the only form of money. And so, we have been, you know, in the United States, the the gold tie was officially broken by Richard Nixon in the early '7s. So, we're just past 50 years of experiment. And I think some people are asking, hey, a lot of these problems are here on the table. And now now that gold is outperforming, you know, I was in some of these these these these uh these hearings and people are talking about, well, you know, the S&P and then bonds, they're doing better than gold. No one wants to buy the loser. Well, now that gold is outperforming bonds at every level. Gold has now replaced bonds except it doesn't have it just doesn't have that income component. However, you start looking at your return component. Who cares about the income? So gold is literally replacing it on the balance sheets and now you got places like JP Morgan suggesting a 60 2020 allocation. So uh 60 equity, 20 bonds and 20 gold. So states are underallocated. So I think I think it's a combination of performance. It's it's a combination of problems that you're seeing and then they're going back to the constitutional roots. They're going back to the historical roots of of of what what the founding fathers intended for our, you know, our our union uh in the United States and and obviously there's a lot of frustration and there's frustrating times ahead. Not that gold solves everything. Uh but there's no doubt I think, you know, we can look at you look at the central banks that sold off their gold and have only seen it rise tremendously. You know, those politicians aren't in power anymore. So, uh and you look at other places that have added to gold, they're now rock stars. So Poland's becoming an elite nation, you know, monetarily, you know, they're they're stepping into the arena and they're going to have a seat at the table going forward. >> You know, across the country, we're seeing states eliminate sales taxes on bullion purchases. Some still impose them, of course. Are we entering, you know, a phase where states compete on precious metals tax? I mean, if if Texas is institutionalizing bullion access, does it follow that tax policy eventually has to evolve, too? >> Yeah. And there there's obviously some nonprofits out there that have been working with the states over the past number of years to say you shouldn't tax an investment. >> And you're seeing almost I would say very very few states or even left uh that that do taxes and the ones that do should be getting hammered. So, uh, they should be absolutely hammered because they're losing, you're right, they're losing business. And the old adage of go where you're treated best is very, very true. And, and I do I do think, you know, states like Florida, they canceled everything. And I would say, you know, Florida, you know, with Dantis, are they going to step in uh in into something, you know, in the future, you know, related gold and silver, right? I think people are watching what Utah, Wyoming, and now with this news of what what the state of Texas is doing. I think these other state legislators maybe maybe maybe they maybe they have a little bit more ump to actually want to take this all the way and say hey our state needs to lead too and and there's there's no doubt that that I think that's going to be the trend. >> Yeah. This is interesting because it kind of brings up that national conversation too. I mean you know right now the IRS treats gold and silver as collectibles with a higher capital gains rate than equities as you know. If if states start building infrastructure around metals, do we see pressure eventually built at the federal level to rethink that classification? >> It depends if uh the government wants citizens to own it or not. >> Right? >> So I I think you know we've seen you just take other nations like India. They'll they'll move the tax up and down depending on how much money is being sucked into precious metals uh versus how much is circulated. Uh so could the US also do the same thing? So you're right. It's 28% um is is the collectible tax rate on on gold and silver even though it's considered a monetary instrument on behalf of the central banks. So I mean silver clearly is is more of a of an industrial commodity with a historic monetary component. Um so it's possible that the US government could always look at reclassifying how that works. But you know they say that's an act of Congress and so you know uh as a joke um it takes an act of Congress to do something like this. So I is it going to happen tomorrow? Probably not. >> Yeah. Um I got to ask you, I mean I you might not be able to answer it, but are other states actively in discussion right now without naming names, is this the beginning of a broader state level kind of metals build out? >> Yes, I'll I'll leave it there. I Yeah, it's there it's beginning. Um you know, phone calls are coming in. Uh obviously, you know, my my my comp one of my companies, Scottdale Mint, as as a producer for for many foreign nations. Uh so I do a lot of the British Commonwealth, a lot of their coinage. Uh and and obviously the US Mint only produces stuff, you know, on behalf of the for the US Treasury. So So as for outsourcing, so yeah, we're we're we're we're keeping busy and I think a lot are looking at what's going on also physical gold storage, uh and what and kind of what's going on. And so what what you're seeing I think with with Wyoming and then and now now Texas stepping forward as well is is is uh I think indicative of what is going to be continued. >> Yeah. So the state wants their uh their medals inside those state lines is what it sounds like. >> It's no different than any type of business. It's no different than the airport. They they you know that a lot of these you know the international airports they have the duty-free sections before you leave. They want to keep the capital in their in their country before you fly away. And so this this is this is what same thing with cruise ships. Same thing, you know, at the ports. Um and so absolutely they want you to buy gas in their state. They want you to hotel, you know, and that and that creates obviously business income and revenues for for the local communities and and the state. So there's no doubt that, you know, there's there's there's a consideration. I mean, think about like Delaware, you know, historically they went after LLC's. you know, Wyoming actually invented the LLC and and uh Delaware did a much better job marketing it. And now I think you're going to see, you know, and I put out a post on X that Wyoming is going to be a major player in finance and banking. You're going to see some huge enormous players uh coming to the arena. And what is banking and finance going to look like 10 years from now? There's going to be so many changes. And so I would say, you know, the state of Wyoming has a regulatory. So you've seen Kraken just moved their headquarters. uh there's there's going to be there's going to be more of the custodian platform. They're going to come there and that's because of the regulatory and tax environment. Um it's it's open for business. Um and and you're definitely going to see continued states competing with each other for for the future. >> Yeah. I mean, it feels like we saw that, you know, it used to be very trendy to be in California years ago. Now we see that exodus out of an overregulated state. Um I guess it's just about control and freedom. That's what we're seeing. >> That's right. you know, in in in California, it's called the weather tax. It's a wonderful place to to be. It's a hard place to live now. And so, you know, you have to, you know, businesses are now making that evaluation and say, "Hey, let's move, you know, somewhere else." Obviously, Florida, Texas, and and and Tennessee have been some of the biggest winners, you know, in terms of of bodies just leaving California and New York. Um, you know, any I was just in Miami over Christmas. The amount it feels like a small Manhattan now, you know, in terms of off off Bickl. So you're you're just seeing the these just big big changes and I think you know Miami's got a big role to play in the in AI. You know that data feed cable comes right in right out of the ocean uh right into Miami to the United States. So there's going to be some major players there. So you know Texas is launching its own stock exchange to compete with New York. I mean, look, there's just so many changes, not to mention, you know, what what's going to happen as we fractionalize, digitize, uh, and put things onto the blockchain. Um, you know, what with AI, I'd say it's an opportunity for great gains and great losses. >> Yeah, well said. Uh, I know you can't give us everything. I can see it in the smile there. But let's just, uh, let's wrap up with a bit of a reality market check because I mean, you know, gold today trading near $5,100, up over a percent. Silver still outperforming with the sharp rally uh almost at three here over $83. I mean from a manufacturer standpoint are you seeing elevated state level demand contribute to longer lead times or higher fabrication premiums >> both? Yeah, you know one of the talk I think I talked maybe about a year ago this time I said hey right now it's basically governments and banks are the only ones in in heavy demand. retail is pretty quiet, but if retail steps up, that's when you've got multiple uh multiple uh groups clamoring for the same asset, and that's what makes prices go up. And that's exactly what we're seeing. And now the retail demand, you know, really picked up worldwide right around Christmas. And and so I'd say the good news is at least here in the United States is we've got access to plenty of of raw material at this time. But I do know there's places like Europe, they are very concerned about Q3. So, you know, they just look at kind of the flow of metal in and the flow of metal out. And so, while they have metal there now, they're concerned, you know, a few months out. Are we going to have that steady supply uh to continue on? So, yeah, lead times are lead times for the retail product, uh, which I would say, you know, 100 bar, coins, uh, those types of things are because of the the demand is so big, they're they're definitely pushed out. It's the most we've seen probably since Silicon Valley Bank um, 3 years ago. Wow. >> So yeah, it's uh it feels a little it's not to the level of co but you know uh my companies are seeing record you know January was record months ever in in our in our in our history. So >> you know this this is definitely impacting the world and and I could say it's it's not just one country it's all it's all of them. So you know the amount >> to Southeast Asia it's just non-stop that they they're clamoring for this metal. When you talk about Europe there though, I mean is is is this tied to European bank balance sheets and Basil 3 implementation timelines or is it about physical demand? You know, vault withdrawals and central bank buying. >> I'm going to go with more vault withdrawals in Europe. So Europe is seeing a lot of the metal leave. So it started last year coming to the US and then it's going to China. Those are those are those are the two biggest players and obviously you know India's India is a big puller of metal as well. Those are the major markets that I think are putting stress on the Europeans. Uh and now you've got Trump out there, you know, cutting new deals. You know, you've got, you know, a battle under above, uh above ground, you know, we're talking about right now. Then there's a battle below ground for the mining resources. So, you're seeing obviously Venezuela, that was a huge component of what's going on. China is now getting squeezed a little bit through their Latin American trade routes. Um, and so the US is competing more for for that raw material feed stock, not just people just you kind of look at what you have today. It's really it's it's what's coming what's coming over the next few years. And so right now those battle lines are are literally being drawn. >> Yeah. >> And bought over and and you're seeing, you know, come banks like JP Morgan, you know, they just, you know, the the the 7 billion dollar zinc smelter um in Tennessee that obviously has a lot of silver byproduct. It's got a lot of earth minerals. $2 billion from the Department of War was put in. So that was a stateowned, stateinvested capitalistic company. Very Chinese-like, right? And I think while the US is not adopting the Chinese model completely, they kind of have to with the critical minerals because of probably what we're facing, which is, you know, some sort of global conflict. >> Yeah. So it feels like those major banks are increasing exposure to physical metals infrastructure quite broadly. >> Uh yeah, and then the banks represent clients. So where do bankers usually get their ideas? It's it's what they're seeing from their client demand. No different than me. I can I can now talk to you because I'm I've I'm seeing what's happening behind the scenes. Same thing with a lot of the bankers. You know, they're representing, you know, it's mercantile banking, so they're representing, you know, government entities. Uh, and we saw JD Vance talk about he's they're putting the US government's putting a floor on critical minerals and we're all trying to figure out what is that what is what's the floor? We don't know. My guess is the floor is whenever it dips below a price the US government's the buyer. >> Yeah. >> So that they're stepping in and buying these things. So this is this is I I'd say what we're going through now is not going to stop. >> Yeah. We're only just seeing, I think, early stages of it. And, you know, um, gold is not a trade. It's an entire paradigm. There's a new order. There's a it's it's a whole new like finance is changing in front of our eyes. And it feels like those that have been watching Gold and Silver, you're like, "Oh, yeah. Yeah. I've heard this. Now, we're watching it unfold." And it's going, it's really going in slow motion, but you see these things fast happening. And that's why, you know, the electric sparks uh on the charts right now, I think, are going to look like a pimple long term. >> Yeah. Yeah. You and I discussed that before. I mean, definitely a lot of tailwinds behind the metals. Uh you said something there that was interesting. I mean, are you seeing forward orders that suggest Q3 delivery strain? I mean, the word squeeze is circulating again. Is there a genuine tightness in the physical market or are we simply seeing isolated bottlenecks at the minting level? Um there are some bottlenecks out there and I I do think do you have access to the right material that you need in the right the right location and so you know the United States is kind of a benefit a beneficiary that it has a lot of high-tech manufacturing still for for precious metals. So a lot of precious metals is shipped to the US, from Latin America, uh from from Southeast Asia, you know, from Europe because the demand for the material just on the industrial side is so big. Um there are some places I think some some countries uh that maybe there the choke there's some there's some concerns of like their flows maybe not quite as dynamic or diverse um that are that are going to see some some problems. And if you are competing often the door out of a mine site and those contracts come up for renewal and it changes uh that they you got to go find that flow from another another another nation another country another another mine. Uh so you know you're seeing a lot of people are clam you know they're trying to get escrap going. Uh you're seeing you know that's a you know the recycling industry has to get more efficient uh to keep up with. I know that's a big big problem in platinum uh platinum and palladium. there's not enough recycling of that material. Frankly, there's not enough there's not enough coming out of the mines in South Africa. Uh, and this is why platinum has gone up so much in price and we may see some sort of import export control all over the world for some of these minerals uh as we go forward. >> Yeah, what a time. What a time. I mean, you've been doing this a long time. Very interesting. And I guess it, you know, it brings me to that to that question. If if Texas is the beginning, not the end. I mean, what does that look like in three to five years? Are we talking about multiple states maybe launching bullion programs, formal state reserve allocations, maybe some regulatory competition around? I mean, it feels like this doesn't stop in Austin. >> It doesn't. It doesn't. As this is a new paradigm, this is like precious metals are going to be so critical, so important um in in the world, in commerce, in banking. um everything's changing and it's changing like I mentioned it's like it's it's going in spurts but it's in slow motion and so I I view this as this is the decade of change and you know you hear the terms monetary reset what is what do these things mean gold's got a role to play in all this so you know you you you got to have in my opinion if you don't have exposure to this this asset class uh you're you're potentially going to miss out on on something incredibly uh big and and so yeah this it's all going to it's all going to change and I think you know companies that are involved in gold could be the future kingpins of of the banking world and you just become you're a critical you're a critical component uh to what to what's going on and I think that's why the US government is now investing in certain asset classes whether they're buying the physical material or they're investing in the companies themselves. >> Yeah, I was going to ask you that. I mean to wrap up you kind of answered it there but I mean from you know five years from now what what does success look like for this Texas program? Is it kind of volume? Is it adoption? Or is it legislative expansion? >> You know, I can't speak uh you know what what what what on behalf of the state and again because I'm just I'm just the manufacturer with them, but I think there's people want to lead. I'd say leaders leaders want to lead and I I I so I see the state of Texas as they they want to be a leader. Uh they want to be a leader. Um where it what it looks like in five years, who knows? Is it competing with like a Royal Canadian Mint product one day at that at that size and scope and importance? I'd say perhaps. You know what I would say? So, this it's not something scary. I think it's something to embrace. It's something it's something really exciting because this is we're returning to the roots of like what our entire monetary system used to be all about. So, um yeah, it's a it's this is extra special uh to watch this and be part of it. Yeah, absolutely. Historical uh day for the industry. Okay, we'll let you go there, Josh. Thanks for joining us. Of course, Josh Ferry is the CEO of Scottsdale Mint uh in Austin following that state of Texas press conference. Uh exciting day for you, mate. Congratulations. >> Yeah. Well, thank you Jeremy and the team at Kitco and look forward to catching up soon. >> All right, I appreciate that. This is a Kiko news exclusive. Texas now operates a state vault, distributes state branded bullion, and connects directly with consumers through the controllers's office. Now, whether this remains primarily commemorative or evolves into deeper infrastructure will depend on what lawmakers do next. It keeps tuned here right here to KCO News. We're going to have more on this story, including more on the economic data coming out this week, too. Don't forget to subscribe. I'm Jeremy Saffron. Thanks for watching. Heat. Heat.