The Czech National Bank (CNB) could become the first European central bank to invest in Bitcoin as part of its foreign reserves diversification strategy.
Aleš Michl, CNB Governor, plans to allocate 5% of the country’s foreign currency reserves to BTC, according to Reuters, citing Financial Times. The proposal, which will be presented to CNB’s board of directors on Thursday, would translate into a €7 billion investment in Bitcoin if approved.
André Dragosch, Head of Research at Bitwise, noted that purchasing BTC in this amount would be equivalent to nearly six months of Bitcoin mining output.
Earlier this year, Michl told CNN Prima News that CNB was considering acquiring “a few BTC” for diversification. The bank also outlined plans to increase its gold holdings to approximately 5% of total reserves by 2028. CNB’s primary goal remains maintaining low inflation and ensuring financial stability in the domestic market.
Max Krupyshev, CEO of CoinsPaid , previously predicted that the trend of national Bitcoin reserves would gain momentum in 2025. He suggested that governments might view BTC as a hedge against currency instability and a tool for reserve diversification or reducing reliance on traditional financial assets.
A similar trend is emerging in the U.S. at the state level. The Arizona Senate Finance Committee approved a bill to create Bitcoin reserves, which will now be reviewed by the full state Senate. Likewise, Utah’s House Economic Development and Workforce Services Committee endorsed a similar bill for further legislative consideration. According to Bitcoin Reserve Monitor, similar proposals are under discussion in 12 U.S. states.
The use of Bitcoin as a reserve asset is gaining traction globally, with initiatives ranging from national governments to private sector industries, including the alcoholic beverage sector.
