Can Bitcoin Become a Global Reserve Asset?

[jcojci]

That needs approval from all governments which will not be easy. They will not easily make Bitcoin a legal financial instrument because they realize they can't control Bitcoin. But with some countries using Bitcoin as a global reserve asset, that can make other countries follow in their step. We just wait and see when that will happen but we can prepare ourselves for the coming. It will need more time for Bitcoin while the adoption process continues. If the government can research of what benefits they can get from Bitcoin, that can change their minds and they will use Bitcoin as a reserve.

[Joy- maker]

Bitcoin is already the best reserve asset and it is also showing the potential of becoming a global reserve asset do to it decentralised nature, and it is also a store of value with potential returns, and as time goes on, and the more people and nations adopt bitcoin it will definitely become a global reserve asset, and as we can all see countries are already holding bitcoin as their reserve asset, including institutes and others. Bitcoin is already becoming a method of payment, and currently there are some companies and retail stores in some part of the world that are accepting bitcoin as their payment method and more are yet to adopt the same payment method.

[XOOMBOX]

That needs approval from all governments which will not be easy. They will not easily make Bitcoin a legal financial instrument because they realize they can't control Bitcoin. But with some countries using Bitcoin as a global reserve asset, that can make other countries follow in their step. We just wait and see when that will happen but we can prepare ourselves for the coming. It will need more time for Bitcoin while the adoption process continues. If the government can research of what benefits they can get from Bitcoin, that can change their minds and they will use Bitcoin as a reserve.

Your point is quite reasonable because it will not be easy to accept Bitcoin as a global reserve asset without the approval of all governments. Most governments still do not want to see Bitcoin as a legal currency or financial asset for fear of losing control. However, if some countries like El Salvador or other developing countries accept Bitcoin as a reserve asset then it may affect others as well. History says that technology and economic change never come together and gradually become part of society. The acceptance of Bitcoin is still at an early stage but as its use increases over time then governments will also understand the reality. If they do more research on Bitcoin and understand the benefits of Bitcoin, including transparency, unlimited transaction capacity, and inflation resistance, it won't be too difficult to change their minds, so for now we should wait.

[justdimin]

If the government can research of what benefits they can get from Bitcoin, that can change their minds and they will use Bitcoin as a reserve.

Don't you think that they have not done that by this time? Probably they might have ignored bitcoin until Trump announce about strategic bitcoin reserve. But, once they heard about USA plans on bitcoin along with gold or petroleum, most government must have formed a committee of technical people to study about the pros and cons of bitcoin reserve. But, governments are not fully unveiling their plans on crypto because of fear of extinct of their own fiat.

we can all see countries are already holding bitcoin as their reserve asset

Yeah, we are just in the beginning of bitcoin reserve era. We do not confuse about adapting bitcoin for legal tender from bitcoin reserve. Before Trump, I guess no country was talking about bitcoin reserve and El Salvador first declared bitcoin as legal tender. Because, in most countries treasury and central bank different entities and serving on different policies.

[fuguebtc]

That needs approval from all governments which will not be easy. They will not easily make Bitcoin a legal financial instrument because they realize they can't control Bitcoin. But with some countries using Bitcoin as a global reserve asset, that can make other countries follow in their step. We just wait and see when that will happen but we can prepare ourselves for the coming. It will need more time for Bitcoin while the adoption process continues. If the government can research of what benefits they can get from Bitcoin, that can change their minds and they will use Bitcoin as a reserve.

Does any country control gold? No, gold is also a decentralized asset and the world still accepts it. Likewise, whether bitcoin is accepted by the world as a global reserve asset will depend on how much they trust it and whether it is worthy of their trust. This has nothing to do with its decentralization and that is even the criteria for being a safe haven asset.

Although the world is made up of many countries, but our world is largely centered around major economies such as the United States, China, and the Eurozone...So as long as the major powers accept bitcoin as a national reserve currency, the rest of the world will follow.

[lizarder]

Yes it's possible to become the world global reserve Asset,
‎The fact that Bitcoin could become a global reserve asset has generated alot of attention in this modern years.
‎When we are talking about a global reserve Asset we are talking about an element that countries and the central banks handle to support their currencies, pay their international debit and sustain the economic stability.
‎In order for Bitcoin to become reserve global asset more countries, individuals, institution must agree to use it.
‎So when the government see it as a legal financial instrument and also the businesses and consumer use it daily for transaction and saving, then Bitcoin can become a Global Reserve Asset in the world.

Another benefit that we rarely discuss may be the need for audits, as using strategic reserves in Bitcoin allows for open audits via the blockchain without any game of interests. Furthermore, there's a much more profitable circulation for countries because Bitcoin is essentially a hedging asset, and this may not be a short-term issue due to its nature as an alternative global reserve. After Trump's election, many countries may begin to consider Bitcoin as a strategic reserve, despite recent tensions between the United States and China, where gold has become an alternative for those countries.

In the context of global economic relations, transparency is essential, but we never know how these relationships are related because we're not economists. However, I do know that Bitcoin has become a valued asset, surpassing gold which was previously considered the best asset. This paves the way for global relations based on interests, but some countries are simply dominating and demonstrating their strength.

[Agbe]

Alot of Nations has started looking at the way of Bitcoin in recent times, and has started having Bitcoin reserves and has also been investing into Bitcoin. This is because most Nations has started to realize that Bitcoin is one asset that can be trusted due to its stable nature.but about your point of Bitcoin becoming a global Reserve currency is what will be difficult because, different nations has different opinions and approaches about Bitcoin which goes a long way in determining their stance concerning Bitcoin. So it will be hard for any country to impose Bitcoin as a reserve currency in the world what is possible is individual countries having Bitcoin reserves.

[Nothingtodo]

Bitcoin is considered a reserve asset after gold in the world, meaning that various countries around the world have already placed reserves on Bitcoin, including El Salvador, the USA, Kazakhstan, the United Arab Emirates, China, and even Bhutan, a small country in terms of population and size, have placed strategic reserves on Bitcoin. The biggest thing now is that the world is paying more attention to Bitcoin day by day and different countries around the world are increasing their strategic reserves of Bitcoin. It is expected that Bitcoin will become the largest reserve asset in the world after gold in the future.

[fuguebtc]

Bitcoin is considered a reserve asset after gold in the world, meaning that various countries around the world have already placed reserves on Bitcoin, including El Salvador, the USA, Kazakhstan, the United Arab Emirates, China, and even Bhutan, a small country in terms of population and size, have placed strategic reserves on Bitcoin. The biggest thing now is that the world is paying more attention to Bitcoin day by day and different countries around the world are increasing their strategic reserves of Bitcoin. It is expected that Bitcoin will become the largest reserve asset in the world after gold in the future.

So far, bitcoin has not been recognized as a global reserve asset. To be precise, bitcoin has great potential to become the next reserve asset of the modern world. But whether that will come true or not, only time will tell, nothing is certain.

So far, only El Salvador and Bhutan are the only two countries that have officially included bitcoin in their national reserves through purchase and mining. The remaining countries are the United States, Kazakhstan, the United Arab Emirates and China, which, although owning bitcoin, have yet to pass any bills to officially make bitcoin a national reserve.

[BALIK]

I wonder why people aren't curious about Hong Kong, if everything is allows to run in Hong Kong why does China say no to Bitcoin? If they don't want Bitcoin they would allow Hong Kong to get involved too, they are also playing games but not ready to prove anything to the world.

Because China and Hong Kong operate under the mechanism of one country, two systems. HK was a British colony and was returned to China in 1997, but under an agreement that it would maintain its capitalist system, legal framework, and freedoms until 2047. China is only allowed to interfere in decisions related to defense and foreign affairs, the rest is up to HK to decide. That is why it is almost impossible for China to interfere in the decisions of the Hong Kong government regarding bitcoin and crypto.

Think about it, China is not shy or afraid to openly express the idea of ​​de-dollarization, openly challenging the United States on the international stage in every aspect. Why should they hide their intentions with bitcoin when it is just a speculative asset?

You are overestimating bitcoin but they are not.

[DPHOR]

‎In order for Bitcoin to become reserve global asset more countries, individuals, institution must agree to use it.
‎So when the government see it as a legal financial instrument and also the businesses and consumer use it daily for transaction and saving, then Bitcoin can become a Global Reserve Asset in the world.

I don't think it is something to rush as we are heading that part of the world, and of course many countries like El Salvador has acquired a lot of bitcoin in their strategic reserved funds and I believe more countries are coming into that. So, what I think is that it needs a lot of time for the general world, I mean Globe to use it as a reserved asset because more people and countries are still building trust on bitcoin.

[Rampagoe004]

‎In order for Bitcoin to become reserve global asset more countries, individuals, institution must agree to use it.
‎So when the government see it as a legal financial instrument and also the businesses and consumer use it daily for transaction and saving, then Bitcoin can become a Global Reserve Asset in the world.

I don't think it is something to rush as we are heading that part of the world, and of course many countries like El Salvador has acquired a lot of bitcoin in their strategic reserved funds and I believe more countries are coming into that. So, what I think is that it needs a lot of time for the general world, I mean Globe to use it as a reserved asset because more people and countries are still building trust on bitcoin.

Yes, it's true that many countries have recognized Bitcoin as a promising future asset, such as El Salvador, which has acquired a lot of Bitcoin and reserves for long-term investment.
In the future, as technology advances, more countries will support Bitcoin as a global digital asset, but it will not happen instantly, but rather requires a process in which it is also necessary to convince the world or global real trust in terms of investment.

[Marvell1]

If the majority of the world recognizes it and countries proceed to add bitcoin to their national reserves. I think China will no longer stand on the sidelines, and whether they like it or not, they have to adapt to the development of the world.

But my question is, do governments and central banks really want to add bitcoin to their reserves? We are Bitcoin investors and on a Bitcoin forum, so it is not hard to understand why we are bullish on Bitcoin. But if we look at it objectively, I really doubt it and it will probably take a long time for that to become a reality.

Bitcoin is still too young to fit the role of a safe haven asset or a national reserve, IMO.

You falled for the scheme, because China is only pretending to not have anything to do with Bitcoin, in fact they have everything to do with Bitcoin, China has always like to do their things hidden, away from the world, they are very secretive.

Do you know that there are many cars in China that are far more futuristic than those build in other countries? Such cars should be on every TV channels and news but they don't care, there are locations in China that feels like you are in 2056.

I wonder why people aren't curious about Hong Kong, if everything is allows to run in Hong Kong why does China say no to Bitcoin? If they don't want Bitcoin they would allow Hong Kong to get involved too, they are also playing games but not ready to prove anything to the world.

China is also a big adopter of Bitcoin, I won't look less on them simply because they don't have a Bitcoin address that can be identified as China's very own, they are smarter, they have always been.

Have I fallen into China's trap or have you fallen into the trap of the Western media when they stuff the world's head that China is a mysterious country, they do everything in secret or shady?

As you said, they are very smart. That means if they want to keep it secret, it will be things related to military technology, AI, because those are strategic cards to compete with the US, not bitcoin. The US is dominating the world through military and technology, not because they hold a lot of bitcoin or are the center of crypto.


Regarding the difference between Hong Kong and China in policy regarding cryptocurrencies, since they are one country with two systems.

[Justbillywitt]

But my question is, do governments and central banks really want to add bitcoin to their reserves? We are Bitcoin investors and on a Bitcoin forum, so it is not hard to understand why we are bullish on Bitcoin. But if we look at it objectively, I really doubt it and it will probably take a long time for that to become a reality.

There is a difference between it won't happen and it will take time. We have to understand that things like this will definitely take time before it happens, but for the fact that we see a possibility of it happening is okay for me. Bitcoin is something that just came out from nowhere and began disrupting the traditional way of banking and financial order of things that the government and banks were used to. So they can't just welcome it with open arms, they will need time to reflect on it and find a way to harmonize it with what they are used to. So I don't doubt it a bit that the government and banks will accept bitcoin as national reserves someday. It's just a matter of time, as we can see that some countries are already doing that.

[The Cryptovator]

So far, bitcoin has not been recognized as a global reserve asset. To be precise, bitcoin has great potential to become the next reserve asset of the modern world. But whether that will come true or not, only time will tell, nothing is certain.

Any new discovery hasn't been welcomed so quickly in the world. Because it would take time to comply with something new, and Bitcoin is one of them. Whoever recognised Bitcoin is updated, but whoever hasn't recognised Bitcoin means they are backdated. For example, that technology Japan has been using now – likely we will get this technology after 50 years. Because our country is backdated and corrupted. For Bitcoin, it would take time but it is definitely possible for Bitcoin to become a global reserve asset.

So far, only El Salvador and Bhutan are the only two countries that have officially included bitcoin in their national reserves through purchase and mining. The remaining countries are the United States, Kazakhstan, the United Arab Emirates and China, which, although owning bitcoin, have yet to pass any bills to officially make bitcoin a national reserve.

The US decided to reserve Bitcoin, but they haven't decided to purchase it. They just keep reserves that have been seized from various sources. It doesn't really reserve at all. China still keeps Bitcoin banned; likely it would take time to unban it. So others haven't even decided to reserve Bitcoin yet. Though we don't know the future, it might take hundreds of years to become global reserve assets.

[bettercrypto]

Currently, only a few countries have established Bitcoin reserves for the nations they govern. It's possible for this to happen as long as the leaders of these countries accept
and recognize Bitcoin as an asset that can help their economy.

However, in the reality of what's happening today, there are still only a few countries that recognize blockchain technology, or Bitcoin and other top cryptocurrencies
in the market. But it's not really far-fetched for this to happen in the future.

[BIT-BENDER]

Yes it's possible to become the world global reserve Asset,
‎The fact that Bitcoin could become a global reserve asset has generated alot of attention in this modern years.
‎When we are talking about a global reserve Asset we are talking about an element that countries and the central banks handle to support their currencies, pay their international debit and sustain the economic stability.
‎In order for Bitcoin to become reserve global asset more countries, individuals, institution must agree to use it.
‎So when the government see it as a legal financial instrument and also the businesses and consumer use it daily for transaction and saving, then Bitcoin can become a Global Reserve Asset in the world.

Pls you can get involved in other post similar to this one because this is just a an unnecessary post about Bitcoin. Can Bitcoin global reserve asset well we will find out.
As a newbie you need to do more research, for your own self speculative questions like this that has already been discussed here should not be your concern, what is important now is that the adoption level of Bitcoin is greatly increasing and that's a good path to a bigger future.

[Reatim]

That needs approval from all governments which will not be easy. They will not easily make Bitcoin a legal financial instrument because they realize they can't control Bitcoin. But with some countries using Bitcoin as a global reserve asset, that can make other countries follow in their step.

it’s also not just about having control over bitcoin but it’s about whether we can unite all the countries enough to reach this agreement of course some countries wouldn’t want to agree as they do not want equality of shares they want to be ahead of all the other countries

[Lucius]

Yes it's possible to become the world global reserve Asset,
‎~snip~

It is possible, but if we were to speak in percentages, is that probability 10% or 30% or some other number? I think all of you who fantasize about such things are completely forgetting that Bitcoin is a decentralized cryptocurrency that completely opposes the centralized system on which the entire world rests.

Accordingly, how realistic is it to expect the most powerful countries in the world to accept Bitcoin in this way, when at the same time all of those countries are doing everything possible to push that same Bitcoin to the margins where it will only be traded and nothing more?

Therefore, I would conclude that Bitcoin as such cannot achieve the global success you dream about, but there should be no doubt that various politicians/powers of the world are already making plans in their heads on how to "fix" Bitcoin to suit them.

[bitgolden]

it’s about whether we can unite all the countries enough to reach this agreement of course some countries wouldn’t want to agree as they do not want equality of shares they want to be ahead of all the other countries

I do not think there would be any need of such agreement for making bitcoin as a global reserve asset. In my opinion the advantages of bitcoin itself must be enforcing the countries to adapt bitcoin as a reserve. This is already happening and in the near future, most other countries as well will adapt bitcoin as a reserve asset. Considering the potential of bitcoin, countries will start feel like adapt or stay back kind of situation. So, bitcoin to be a global reserve asset must happen in real soon.

The appreciation rate of bitcoin is far higher than gold's appreciation rate. So, there are plenty of chances for countries to adapt bitcoin even they are not ready to realize the true other potential of adapting bitcoin. Firstly bitcoin will be entering as a part reserve asset but later on it may dominate against gold.