Bitcoin’s rise as a global reserve asset
The global push for Bitcoin as a reserve asset is gaining speed, with the US leading the way by establishing a Strategic Bitcoin Reserve in January 2025. By March, an executive order was signed to begin structuring the reserve, signaling a shift in policy direction.
The Strategic Bitcoin Reserve in the US will be funded by Bitcoin (BTC) confiscated from criminal activities and company bankruptcies. The Department of Justice (DOJ) and the US Marshals Service will manage these assets. This action demonstrates a strategic decision to treat Bitcoin as a long-term store of value, similar to digital gold, rather than a short-term asset.
As of March 2025, the US government holds nearly 200,000 BTC. Various states in the US have allowed their public treasuries to invest in Bitcoin, including Texas and Arizona.
Outside the US, El Salvador holds over 6,000 BTC as part of its national reserves, while Bhutan has accumulated more than 12,000 BTC through eco-friendly hydropower mining, representing nearly 40% of its GDP. These actions show a growing global view of Bitcoin as “digital gold,” valued for its limited supply, transparency and ease of transfer.
During times of inflation, currency weakening and geopolitical challenges, Bitcoin’s decentralized and scarce nature is increasingly appealing to governments looking to diversify their reserves. As more countries consider its strategic role, the narrative around Bitcoin is shifting from a speculative investment to a credible tool for economic stability.
What makes Bitcoin digital gold
Bitcoin is often called “digital gold” because it combines the rarity of precious metals with the advantages of digital technology, making it a store of value. Here are a few reasons why Bitcoin earned this name:
- No central authority: Bitcoin is not controlled by any government, bank or company. Like gold, it is independent of centralized control, which protects it from manipulation.
- A limited supply of 21 million: Unlike traditional currencies or commodities that can be produced endlessly, Bitcoin has a fixed limit. It creates scarcity and supports its long-term value.
- High liquidity: Bitcoin can be traded around the clock on global exchanges, providing instant market access. In contrast, gold trading is often tied to business hours and…
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