Taiwan is weighing the inclusion of Bitcoin in its reserves worth USD $602 billion
Taiwan is back in discussions about whether Bitcoin can have a place in its official reserves. A new legislative proposal suggests that even a small allocation within the USD $602 billion in foreign currencies could provide diversification, lower confiscation risk, and a hedge against reliance on the dollar.
The trigger was a presentation by legislator Dr. Ko Ju-Chun, who delivered a report from the Bitcoin Policy Institute to Taiwan's Premier and the Governor of the Central Bank of China, Yang Chin-long, on April 29. The document argues that a small allocation of the country's external reserves could yield tangible benefits.
The report presented by Dr. Ko Ju-Chun proposes allocating a portion of Taiwan's foreign reserves to Bitcoin. According to the proposal, a massive allocation is not necessary for the asset to have an impact in terms of diversification.
One of the most striking points in the report is its geopolitical focus. The document highlights Bitcoin's resistance to confiscation as a particularly important quality for an island nation facing persistent territorial threats from the People's Republic of China.
The proposal does not emerge in an institutional vacuum. By the end of 2025, the Central Bank of China, Taiwan's monetary authority, had already conducted its own assessment of Bitcoin as a potential reserve asset.
Despite previous rejection, the text underscores a significant signal within the Taiwanese system. Since then, the central bank has operated in a regulatory environment for digital assets using BTC 210 confiscated from illicit activities.
Following the report's presentation, Dr. Ko requested a follow-up document focused on stablecoins and their implications for digital asset reserves. That additional report is expected to be ready in a month.
Taiwan is back in discussions about whether Bitcoin can have a place in its official reserves. A new legislative proposal suggests that even a small allocation within the USD $602 billion in foreign currencies could provide diversification, lower confiscation risk, and a hedge against reliance on the dollar.
The trigger was a presentation by legislator Dr. Ko Ju-Chun, who delivered a report from the Bitcoin Policy Institute to Taiwan's Premier and the Governor of the Central Bank of China, Yang Chin-long, on April 29. The document argues that a small allocation of the country's external reserves could yield tangible benefits.
The report presented by Dr. Ko Ju-Chun proposes allocating a portion of Taiwan's foreign reserves to Bitcoin. According to the proposal, a massive allocation is not necessary for the asset to have an impact in terms of diversification.
One of the most striking points in the report is its geopolitical focus. The document highlights Bitcoin's resistance to confiscation as a particularly important quality for an island nation facing persistent territorial threats from the People's Republic of China.
The proposal does not emerge in an institutional vacuum. By the end of 2025, the Central Bank of China, Taiwan's monetary authority, had already conducted its own assessment of Bitcoin as a potential reserve asset.
Despite previous rejection, the text underscores a significant signal within the Taiwanese system. Since then, the central bank has operated in a regulatory environment for digital assets using BTC 210 confiscated from illicit activities.
Following the report's presentation, Dr. Ko requested a follow-up document focused on stablecoins and their implications for digital asset reserves. That additional report is expected to be ready in a month.