The Czech National Bank (CNB) is considering the possibility of including Bitcoin in its foreign exchange reserves, marking a notable move in the trend of central banks starting to take an interest in digital currencies.
New Proposal From Governor Aleš Michl
In an interview with CNN Prima News' Partie Terezie Tománková, Governor Aleš Michl revealed the idea. According to Michl, buying a small amount of Bitcoin is being discussed, but he stressed that this is only a preliminary proposal. Any decision would have to be approved by the seven-member CNB Board of Directors.
Michl clarifies that this is not a large-scale investment plan, but he emphasizes: “Bitcoin is on my mind.”
Bitcoin and Gold: Which is the Priority?
Currently, the CNB still considers gold as the main asset in its foreign exchange reserves. The bank holds 50 tons of gold and plans to double that to 100 tons by 2028, making gold account for about 5% of total assets. Michl explains that gold remains a reliable and stable asset amid a turbulent global market.
However, Bitcoin's impressive performance in 2024 has made it an attractive option. The value of Bitcoin has increased by more than 128% this year, far surpassing gold's 31% increase, creating new appeal for investors looking to diversify their asset portfolios.
What Does CNB's Move Mean?
If the CNB proceeds to integrate Bitcoin into its foreign exchange reserves, this would be a pioneering step in the region and could lay the groundwork for other central banks to seriously consider digital currency. This not only reflects a shift in thinking about digital assets but also indicates that Bitcoin is gradually becoming an important part of the global financial system.
Although there are still many differing opinions, it is clear that Bitcoin has been and is asserting its position, not only among private investors but also in traditional financial institutions.
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