Lawmaker Ko Ju-Chun suggests adding Bitcoin to national reserves.
\nTaiwan has 423 metric tons of gold in its asset base.
\nNew Hampshire in the US passed a law to include Bitcoin in state reserves.<\/p>\n
Taiwan is considering a significant policy shift\u2014one that could see Bitcoin join its national reserves.<\/p>\n
Faced with inflationary pressure, global trade tension, and increasing reliance on US Treasury bonds, the country is now questioning whether its financial buffers are truly secure.<\/p>\n
Legislator Ko Ju-Chun recently proposed the inclusion of Bitcoin in the central bank\u2019s reserve mix, citing its decentralised nature and fixed supply as a strategic hedge against future financial instability.<\/p>\n
The proposal reflects a broader reassessment of traditional reserve assets, especially as over 90% of Taiwan\u2019s US$577 billion in foreign exchange reserves are currently tied to US Treasuries, raising concerns about diversification and liquidity during crises.<\/p>\n
Taiwan\u2019s export-led economy is particularly sensitive to geopolitical shifts and inflation trends.<\/p>\n
With growing tensions between the US and China and the risk of supply chain disruptions, lawmakers are increasingly alert to the vulnerabilities of the New Taiwan Dollar (NTD).<\/p>\n
Currently, Taiwan holds 423 metric tons of gold and nearly all its foreign exchange in US dollar-denominated assets.<\/p>\n
Analysts note that while these have been historically reliable, their over-concentration exposes the country to US monetary policy and potential sanctions should relations deteriorate.<\/p>\n
In an address to parliament<\/a>, Ko Ju-Chun highlighted that Taiwan needs \u201cstrategic flexibility\u201d in how it manages its reserves, especially under scenarios of financial decoupling or restricted access to dollar markets.<\/p>\n The core of the proposal is not to upend Taiwan\u2019s current reserve strategy but to diversify it.<\/p>\n Ko\u2019s plan calls for allocating a small percentage of Taiwan\u2019s reserves to Bitcoin, which he argues would provide an uncorrelated asset that is globally accessible and cannot be arbitrarily inflated.<\/p>\n Bitcoin\u2019s fixed supply of 21 million tokens, combined with its decentralised ledger system, is a key reason why it is being considered.<\/p>\n According to Professor Liu Yiru of National Taiwan University, these features make it particularly resistant to inflationary dilution\u2014unlike fiat currencies, which central banks can expand during economic shocks.<\/p>\n Former Premier Chen Cong also weighed in, stating that although Bitcoin may not serve as a transactional currency at scale, its role as a digital store of value could help safeguard Taiwan\u2019s financial sovereignty.<\/p>\n Taiwan\u2019s deliberation comes at a time when other governments are also experimenting with Bitcoin at the state level.<\/p>\n In the US, New Hampshire recently passed the Bitcoin Reserve Act, allowing the inclusion of the digital asset in its state reserves.<\/p>\n The move has prompted discussions in other American states and emerging markets facing high inflation or currency instability.<\/p>\n While Taiwan has yet to formalise any such measure, the conversation signals a shift in how policymakers view crypto-assets, not merely as speculative investments but as potential components of national financial infrastructure.<\/p>\n In addition to legislative interest, Ko suggested that a task force be set up to study the feasibility, volatility, and custodial risks associated with Bitcoin reserves.<\/p>\n The central bank has not publicly responded to the proposal, though it is expected to be discussed further in upcoming budget and monetary policy reviews.<\/p>\n The broader context of these debates also includes Taiwan\u2019s need to balance its strong technological sector with the risks posed by its geopolitical location.<\/p>\n Diversifying reserve assets may serve not only economic goals but also broader strategic autonomy.<\/p>\n The post Taiwan eyes Bitcoin as hedge against inflation and US Treasury exposure<\/a> appeared first on CoinJournal<\/a>.<\/p>","protected":false},"excerpt":{"rendered":" Lawmaker Ko Ju-Chun suggests adding Bitcoin to national reserves. Taiwan has 423 metric tons of gold in its asset base. New Hampshire in the US passed a law to include Bitcoin in state reserves. Taiwan is considering a significant policy shift\u2014one that could see Bitcoin join its national reserves. Faced with inflationary pressure, global trade […]<\/p>\n","protected":false},"author":0,"featured_media":3328,"comment_status":"","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"tdm_status":"","tdm_grid_status":"","footnotes":""},"categories":[1],"tags":[],"class_list":{"0":"post-3327","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-bitcoin"},"acf":[],"_links":{"self":[{"href":"https:\/\/digkrypton.com\/index.php\/wp-json\/wp\/v2\/posts\/3327","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/digkrypton.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/digkrypton.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/digkrypton.com\/index.php\/wp-json\/wp\/v2\/comments?post=3327"}],"version-history":[{"count":0,"href":"https:\/\/digkrypton.com\/index.php\/wp-json\/wp\/v2\/posts\/3327\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/digkrypton.com\/index.php\/wp-json\/wp\/v2\/media\/3328"}],"wp:attachment":[{"href":"https:\/\/digkrypton.com\/index.php\/wp-json\/wp\/v2\/media?parent=3327"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/digkrypton.com\/index.php\/wp-json\/wp\/v2\/categories?post=3327"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/digkrypton.com\/index.php\/wp-json\/wp\/v2\/tags?post=3327"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}Bitcoin floated as a hedge, not a replacement<\/h2>\n
Global momentum for Bitcoin reserves<\/h2>\n