The Czech National Bank could soon make bitcoin part of its financial strategy if Governor Ales Michl’s proposal gains approval.
He plans to present the idea to the central bank’s board, arguing that Bitcoin would be a valuable addition to its asset portfolio. If the plan moves forward, up to 5% of the institution’s €140 billion ($146 billion) in reserves might eventually be allocated to the cryptocurrency.
Michl also signaled a likely reduction in interest rates, stating that a 25-basis-point cut could be implemented as early as next week. His remarks, published in the Financial Times, reflect a broader trend of increasing institutional interest in digital assets.
He believes Bitcoin’s appeal extends beyond political figures, emphasizing that its growth is driven by market forces rather than endorsements from leaders like U.S. President Donald Trump. Despite this, the cryptocurrency reached record highs this month, coinciding with Trump’s return to office and his pro-crypto stance.
Bitcoin’s rapid ascent in 2024 has been fueled by the approval of spot Bitcoin ETFs in the U.S., a milestone that opened the door for wider institutional participation. Michl acknowledged the influence of major players such as BlackRock, whose ETF offerings have significantly contributed to Bitcoin’s expanding role in mainstream finance.
Bitcoin’s network hashrate has fallen 3.5% since mid-June, marking the sharpest decline in computing power since July 2024.
Bitcoin has officially overtaken Alphabet (Google’s parent company) in global asset rankings, becoming the sixth most valuable asset in the world, according to the latest real-time market data.
Philippe Laffont, the billionaire behind Coatue Management, is beginning to question his stance on Bitcoin.
Personal finance author Robert Kiyosaki is urging investors to rethink their approach to money as digital assets reshape the economic landscape.