According to a recent research, governments are increasingly considering Bitcoin as a strategic reserve asset alongside gold and foreign currencies:
🟠Bitcoin’s fixed supply of 21m coins offers predictability and immunity to monetary dilution
🟠From 2020 to 2024, U.S. inflation rose 20%, while Bitcoin gained over 1,000%
🟠A small BTC allocation (4%) improves portfolio diversification and Sharpe ratio (difference between the returns of the investment and the risk-free return)
🟠Bitcoin is censorship-resistant and cannot be seized or frozen, useful under sanctions
🟠Bitcoin remained stable during crises like SVB’s collapse and the Russia-Ukraine conflict
🟠Its network has 99.98% uptime and the highest blockchain security globally
🟠Still, growing institutional interest and moves by the U.S., Brazil, and El Salvador show Bitcoin’s rising strategic relevance