By Michael Maharrey

The Texas bullion depository took a major step closer to reality last week when officials formally announced the private vendor that will run the facility. The creation of a state bullion depository in Texas represents a power shift away from the federal government to the state, and it provides a blueprint that could ultimately end the Fed.

Gov. Greg Abbot signed legislation creating the state gold bullion and precious metal depository in June of 2015. The facility will not only provide a secure place for individuals, business, cities, counties, government agencies and even other countries to to store gold and other precious metals, the law also creates a mechanism to facilitate the everyday use of gold and silver in business transactions. In short, a person will be able to deposit gold or silver – and pay other people through electronic means or checks – in sound money.

Last Wednesday, Texas Comptroller Glenn Hegar announced Austin-based Lone Star Tangible Assets will build and operate the Texas Bullion Depository. Officials say the facility could open as early as next January.

The company will initially run the depository out of its current Austin location, and will build a new vault facility in the Austin area. Hegar said customers will not have to travel to Austin in order to utilize the depository. The plan is to establish a branch-like system.

“We envision a network of licensed and insured depository agents to help Texans sign up for our services,” Hegar told the Texas Tribune.

Tom Smelker will serve as the state’s first Texas Bullion Depository administrator. He is currently the director of Treasury Operations in the Comptroller’s office.