Once dismissed as a speculative asset, Bitcoin is now being seriously considered by governments worldwide as a strategic financial tool. A strategic reserve is a stockpile of a resource held for emergencies or special needs. Throughout history, nations have stockpiled commodities like gold, oil, and foreign currencies to protect against economic downturns or geopolitical risks.
Now, Bitcoin is emerging as a potential addition to national reserves. With its decentralized nature, limited supply, and growing acceptance, several countries are exploring Bitcoin as part of their financial strategies.
The image below provides an overview of various nations considering Bitcoin for their reserves. It categorizes their progress.
Source | Tephra Digital
The United States
The growing number of Bitcoin reserve proposals in the U.S. has sparked speculation about a potential global accumulation race, where early adopters could gain significant monetary advantages. Kentucky recently became the 16th U.S. state to introduce a bill proposing up to 10% of excess state reserves be allocated to Bitcoin.
According to Isaac Joshua, CEO of Gems Launchpad, Bitcoin is on track to becoming a mainstream reserve asset due to increasing institutional and national adoption. He believes that once a single U.S. state officially adopts Bitcoin in its reserves, a domino effect could drive others to follow suit, leading to a broader movement.
Meanwhile, Bitcoin ETFs continue to attract significant investments, with some of the world’s largest asset management firms holding over 5.91% of the BTC supply, totaling $113.5 billion in Bitcoin assets. BlackRock alone accounts for 48.7% of cumulative holdings among U.S. Bitcoin ETFs.
Source | Bitcoin Laws
Despite the momentum, regulatory challenges and concerns over Bitcoin’s volatility remain key hurdles. Experts argue that while state-level initiatives may gain traction, a federal Bitcoin reserve policy is still a distant possibility.In the U.S., some states like Texas and Ohio have introduced bills to incorporate Bitcoin into state reserves.
Federal discussions have also taken place, but no concrete policies have been enacted. Supporters argue that Bitcoin could serve as a hedge against market volatility, while critics cite concerns about its price fluctuations and regulatory challenges.
Switzerland
Switzerland, known for its robust banking sector and financial stability, has been exploring Bitcoin as part of its national reserves. A potential public vote could determine the nation’s next steps, but the timeline remains uncertain.
Germany
Several financial leaders in Germany have proposed integrating Bitcoin into the country’s reserve assets. While there is no finalized policy, discussions revolve around how Bitcoin might complement existing reserve frameworks within the Euro system.
Hong Kong
Hong Kong has taken a significant step by recognizing Bitcoin (BTC) and Ethereum (ETH) as valid assets for investment immigration applications. Under the new Capital Investment Entrant Scheme (CIES), applicants must hold at least HK$30 million ($3.8 million) in approved investments, including crypto assets, to qualify for residency.
This move reinforces Hong Kong’s commitment to progressive financial innovation and positions Bitcoin as a legitimate store of value in the region.
Brazil
Brazilian lawmakers have introduced legislation to allocate a portion of the country’s reserves to Bitcoin. The proposal aims to diversify Brazil’s financial assets, but further government reviews will determine its feasibility.
Russia
Russia has also entertained the concept of holding Bitcoin in national reserves, with some officials suggesting it as a hedge against sanctions. However, price volatility and regulatory hurdles have stalled any official policy implementation. Russia Says ‘Not the Time’ for Bitcoin Reserve but Door Is open.
Japan
Japan is making a major regulatory shift in its stance on Bitcoin. The government has announced plans to lift its ban on Bitcoin, approve spot Bitcoin ETFs, and cut taxes on cryptocurrency transactions. This marks a significant step forward in integrating Bitcoin into the country’s financial landscape, potentially setting the stage for its inclusion in national reserves.
This recent development, announced on February 11, 2025, signals a stronger embrace of digital assets in Japan’s economic framework.
Czech Republic
The Czech National Bank (CNB) has announced plans to assess Bitcoin (BTC) as a potential reserve asset, despite opposition from the European Central Bank (ECB). Following its 2024 reserve management review, the CNB aims to diversify its holdings and will conduct a comprehensive study before making any decisions.
Reports indicate that the CNB may consider allocating up to 5% of its reserves to Bitcoin, totaling over $7 billion. Governor Aleš Michl has expressed interest in Bitcoin’s role as a diversification tool, although regulatory concerns remain a key factor.
Bhutan
Bhutan’s Bitcoin strategy is setting a precedent for smaller nations. With over $1.1 billion in Bitcoin holdings, the country is leveraging its abundant hydropower resources for mining. Recently, Gelephu Mindfulness City adopted a crypto reserve strategy, incorporating BTC, ETH, and BNB into its financial framework. This move aims to attract foreign investment while utilizing Bhutan’s renewable energy for sustainable economic growth.
Bhutan’s success in crypto-backed reserves could serve as a model for other energy-rich but economically smaller nations looking to strengthen their economies through digital asset strategies.
El Salvador
El Salvador made history as the first country to adopt Bitcoin as legal tender. It has also acquired Bitcoin for its national reserves, sparking global debates on the viability of sovereign Bitcoin holdings.
Chile and Argentina
In Chile, lawmakers have introduced a draft bill proposing a Strategic Bitcoin Reserve. However, the country’s central bank remains cautious. In Argentina, the new president-elect has expressed openness to Bitcoin, though no formal reserve policy has been announced.
Conclusion
The growing number of countries considering Bitcoin for their reserves highlights the shifting landscape of global finance. While some nations see it as a hedge against economic uncertainty, others are hesitant due to its volatility and regulatory concerns.
The final outcomes in each country will depend on economic priorities, political will, and evolving financial policies. And, ultimately, like always, it usually depends on the U.S. The country’s stance on Bitcoin reserves will likely influence global adoption, shaping how other nations approach this digital asset.
This article isn’t financial advice. Make sure to do your own research (DYOR) before making any investment decisions. Want to learn more? Check out blog.millionero.com for insights. Ready to trade? Explore spot and futures trading on Millionero.