Czech National Bank Considers Bitcoin Reserve Amid Growing Global Interest

The Governor of the Czech National Bank, Aleš Michl, has shown that he might consider adding Bitcoin to the bank’s reserves in the future.

Speaking to CNN Prima News, Michl said he was considering buying a small amount of Bitcoin as part of a general diversification. That would, if it happened, not be a major part of the bank’s assets, but it could be a path to some sort of Bitcoin reserve.

The issue cropped up as Michl stressed that the central bank should spread its reserves into a range of foreign currencies and asset types. Actually, the Czech National Bank has already made several considerable changes in the structure of its assets, decreasing the amount of gold to eight tons and then increasing the amount to 50 tons. Now, Michl intends to extend the gold reserves to 100 tons over the coming three-and-a-half-year period.

While Bitcoin has garnered attention from global financial markets, it remains a subject of debate. Michl called Bitcoin an intriguing asset but acknowledged the uncertainty surrounding its underlying technology.

Still, it has not yet taken any steps to invest in cryptocurrencies. The adviser of the board of CNB, Janis Aliapulios, said the bank hasn’t pondered such an investment for now. At the same time, he didn’t rule out the discussion in the future.

The idea of national Bitcoin reserves has been picking up steam around the world. Last year, Brazilian lawmaker Eros Biondini introduced a bill to create a Bitcoin reserve that would shield Brazil’s economy from currency fluctuations and geopolitical risks.

Lawmakers in Japan and Russia have also floated the idea of national Bitcoin reserves as a hedge against economic uncertainty.