Texas Bullion Depository

[2] In 2017, the Comptroller’s office partnered with Lone Star Tangible Assets (LSTA) as the vendor to build and operate the depository.

LSTA, a Texas-based company that also owns precious metals dealers U.S. Gold Bureau and WholesaleCoinsDirect.com, operates a highest-rated, Class 3 vault that serves as the depository’s initial location.

The depository eliminates the need for out-of-state storage and gives Texas the opportunity to become a “commodities hub for the continent,” according to Rep. Giovanni Capriglione, R-Southlake.

The bullion depository will hold precious metals deposits owned by multiple entities: individuals, businesses, financial institutions and even foreign countries.

The bill grants the Comptroller authority to interpret and implement the Act and allows the Texas Bullion Depository to "purchase" and "sell" precious metals in the "course of ordinary business" (Sec.

[19] The University of Texas Investment Management Company (UTIMCO) has gold bullion stored in New York, worth $647 million.

[20] According to Lois Kolkhorst, HSBC Bank in New York City charges Texas a fee to store each individual bar of gold.