The Czech Republic is gearing up to adopt a Bitcoin reserve. However, Czech Finance Minister Zbynek Stanjura has expressed concerns over the country’s Bitcoin strategy. This could pose a setback to the country’s BTC plans as it looks to get ahead of other countries, including the United States.
Czech Finance Minister Opposes Bitcoin Reserve Proposal
In response to the Czech National Bank (CNB) Governor Aleš Michl’s recent Bitcoin proposal, Finance Minister Zbynek Stanjura expressed worries over Bitcoins’s instability and volatility. According to a Bloomberg report, Stanjura posited that Bitcoins are unsuitable to be a national reserve, citing its highly volatile nature. He also added that the government does not have the power to override the monetary authority’s decisions.
Highlighting Bitcoin and other cryptocurrencies’ unstable nature, the Finance Minister stated,
I personally have misgivings about it. The central bank should symbolize stability. If you look at bitcoin trading, it’s definitely not a stable asset.
Plans To Adopt A Bitcoin Strategy
Recently, CNB Governor Aleš Michl revealed the country’s plan to introduce a BTC reserve. Hailing the BTC strategy as a game-changer, Michl unveiled that the national bank intends to invest at least 5% of its total €140bn of reserves in BTC.
Referring to US President Donald Trump’s crypto policies and Bitcoin reserve plans, Michl stated,
For the diversification of our assets, Bitcoin seems good. Those [Trump] guys can now kind of create some bubble for Bitcoin, but I think the trend would be an increase without those guys as well, because it’s an alternative [investment] for more people.
Senator Cynthia Lummis Urges US to Embrace Bitcoin Reserve
In response to the Czech Republic’s BTC initiative, Senator Cynthia Lummis urged the United States to implement its Bitcoin plan. She wants the US to take the lead in adopting Bitcoin reserves ahead of other countries.
Notably, Senator Cynthia Lummis took to X to urge the US to take swift action on the Bitcoin bill, emphasizing the need for decisive movement on the proposal.
Despite the growing anticipation, there has been no official confirmation on the US strategy for a Bitcoin reserve. All eyes are now on Congress, awaiting approval to adopt Bitcoin as the country’s reserve asset. This potential development could mark a groundbreaking milestone in the US financial landscape.
Who Will Win the Bitcoin Race- Czech or US?
Significantly, at least 14 US states have already proposed or approved the Bitcoin reserve bill. These states include Florida, New Hampshire, Pennsylvania, Ohio, North Dakota, Oklahoma, Texas, Wyoming, Massachusetts, South Dakota, Utah, Arizona, Illinois, and Kentucky. It is noteworthy that Arizona became the first US state to approve the Bitcoin bill, followed by Utah. However, there hasn’t been a final decision on the US’ adoption of the strategic Bitcoin reserve.
Meanwhile, the Czech Republic’s Bitcoin agenda is facing struggles as the Finance Minister raises concerns. As of now, it remains unclear which country will lead the global rush of acquiring cryptocurrency.
The post Czech Republic’s Bitcoin Reserve Ambitions Face Setback as Finance Minister Raises Concerns appeared first on CoinGape.
