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.
South Korea’s central bank has ruled out adding Bitcoin to its national reserves, citing its extreme volatility as a key concern, according to a report by Korea Economic TV.
Bitcoin is struggling to break past $84,000, and with the U.S. stock market facing a sharp correction, bearish predictions are mounting.
A major Bitcoin investor has placed a high-stakes bet on a short-term price drop, committing hundreds of millions of dollars just as a crucial week of economic reports looms.
21Shares has decided to shut down its Bitcoin and Ethereum futures ETFs, with liquidation expected to take place by March 28.