Czech National Bank Governor Aleš Michl announced plans to propose investing up to 5% of the nation’s $146 billion (€140 billion) reserves in Bitcoin (BTC).
An approval could set a precedent for other central banks and financial entities exploring digital assets as part of their reserve strategies.
Czech’s Aleš Michl Proposes National Bitcoin Reserve
In an interview with the Financial Times, Michl expressed confidence in Bitcoin as a diversification tool, citing its increasing appeal among institutional investors. The proposed Czech National Bank investment translates to around $7.3 billion. This reflects a broader shift among global financial institutions toward recognizing Bitcoin as a legitimate reserve asset.
“For the diversification of our assets, Bitcoin seems good,” the Financial Times reported, citing Michl.
He also noted that Bitcoin’s upward trajectory relies not solely on US President Donald Trump’s pro-crypto stance. According to Michl, Bitcoin’s growing status as an alternative investment provides the primary tailwind. On this stance, the Czech National Bank governor will present his plan to the board on Thursday.
If the board approves, the bank will purchase Bitcoin soon. This would position the Czech Republic among the first countries to integrate Bitcoin into its official reserve assets, a more pronounced stance compared to the ambiguity in President Trump’s executive order.
As BeInCrypto reported, Trump’s order commissioned the creation of a digital asset stockpile, which is distinct from a Bitcoin Reserve. If the US Congress approves Trump’s executive order, the digital asset stockpile will likely include more crypto assets than Bitcoin.
Nevertheless, both moves come amid heightened global interest in Bitcoin, especially following the approval of spot Bitcoin ETFs (exchange-traded funds) by the US SEC. These financial instruments have driven significant capital inflows into the market.
In a related development, Japan’s Metaplanet recently announced a $745 million raise to fund a record-breaking Bitcoin purchase. The move reinforces the asset’s growing institutional adoption. The Arizona Senate Committee recently approved a strategic Bitcoin reserve bill in a landmark vote.
The bill aims to establish Bitcoin as part of the state’s financial strategy. These highlights, among others, mark a significant step toward Bitcoin’s recognition in governmental financial planning. They indicate a global trend of institutional and governmental bodies increasingly integrating Bitcoin into their economic structures.
Unfortunately, the impact on Bitcoin price has been rather muted. According to BeInCrypto data, BTC was trading at $102,537, down by 0.37% since Wednesday’s session opened.
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