Over at the Swiss Federal Chancellery, they've approved a proposal that's shaking up financial circles: the 'Bitcoin Initiative'. greenlit This fresh proposal is looking to integrate Bitcoin into the Swiss National Bank's treasure chest, alongside its traditional gold reserves.
The proposal has cleared its first hurdle, moving forward into the public debate arena, potentially leading to a nationwide vote.
Yves Bennaïm, along with key crypto influencers, is spearheading this initiative which intends to alter Article 99 of the Swiss Constitution for Bitcoin's inclusion in SNB's reserves.
More Bitcoin Buying
This amendment aims to bolster Switzerland’s economic stability and national independence, especially as the world shows a growing appetite for digital currencies. Advocates think Bitcoin's unique properties could safeguard against inflation and currency swings.
With the Federal Chancellery giving the nod, the initiative is one step closer to legislative status.
The ball is in the Federal Assembly's court now to deliberate. Then it's up to the Swiss electorate to have their say in a national referendum.
While gaining traction, there's also a degree of skepticism about Bitcoin's notorious volatility. Critics worry about the risks of linking such an unpredictable asset to Switzerland's stable economy. The upcoming debate promises to be intense, needing 100,000 signatures by June 2026 for a public vote.
Historically, Switzerland has trodden carefully with cryptocurrencies at the governmental level. Even in 2022, Thomas Jordan, then SNB President, was dismissive of Bitcoin for reserve purposes. But as digital coins gain global traction, the Swiss stance seems to be evolving.
Should this move succeed, Switzerland could be groundbreaking, entwining Bitcoin within its constitutional monetary systems, potentially reimagining both domestic and global central bank policies on digital currencies.
Today, the Swiss National Bank's vaults boast around 1,040 tons of gold, with an estimated worth of $27 billion, placing Switzerland among the top global gold holders, outshone only by the U.S. and Germany.
Anticipation builds for a rise in national Bitcoin holdings with Trump's administration at the helm.
A Bitcoin exchange named River reports that thirteen nations already consider Bitcoin a staple of their reserve strategy, while others like Brazil and Poland engage in similar discourse. A Russian official also suggested its central bank consider the crypto as a reserve asset.
Countries looking to blend Bitcoin into their reserves might find more fertile ground with the Trump administration's favorable stance. Trump has vocalized his support for developing a national Bitcoin stockpile.
The leader of the world's economic powerhouse sees a surge in Bitcoin interest among publicly traded firms and regional governments.
Texas is eyeing a Bitcoin reserve too, with the House introducing a plan that would gather Bitcoin via taxes and fees, framing it as a safeguard against inflation and financial instability.
Giovanni Capriglione, a Republican representative from Texas, believes that this Bitcoin reserve can fortify the state's financial strength and serve as a pioneering template for others, including the federal entity.
Despite oscillating Bitcoin holdings, the U.S. retains 198,109 BTC, valued at $18.5 billion, as per Arkham data, with Trump vowing to hold on to these assets.
Furthermore, some proposals feature the U.S. Treasury acquiring Bitcoin annually to craft a significant reserve gradually.
Bitcoin advocate and Republican Senator Cynthia Lummis proposes legislation requiring the Treasury to purchase 200,000 Bitcoins annually for the next half-decade, potentially accumulating a million in reserve.
If this plan materializes, the U.S. could emerge as a major player in Bitcoin holdings, encapsulating roughly 5% of the global availability.
