Why the Philippines’ Move to Build a National Bitcoin Reserve Could Shake Global Finance – Are You Ready to Ride the Wave?
Imagine a country deciding to stash its treasure not in gold bars or bonds, but in digital gold—Bitcoin. That’s exactly the bold move the Philippines is contemplating, aiming to reshape its financial backbone by establishing a national Bitcoin reserve. Spearheaded by young congressman Miguel Luis “Migz” Villafuerte, this audacious proposal pushes the Bangko Sentral ng Pilipinas to accumulate up to 2,000 Bitcoins each year, turning the crypto asset into a sovereign safeguard meant to shield the nation from currency shocks and global financial tremors. It’s fascinating to watch a nation blend traditional fiscal policy with cutting-edge digital assets, raising a cheeky question: Could Bitcoin become the next big lifeboat in the choppy seas of international finance? If this bill goes through, the Philippines would not only pioneer a new frontier in Asia but also echo the footsteps of countries like El Salvador and Switzerland, who are already wading in these waters. Would this be the dawn of a crypto revolution in central banking or just an expensive experiment? Time will tell. LEARN MORE.
New legislation aims to boost financial stability by diversifying the country’s reserves with digital assets and mimicking global trends.
Key Takeaways
- Philippines legislators propose a bill for the central bank to purchase 2,000 Bitcoin annually, building a 10,000 Bitcoin reserve over five years.
- The reserve would be held for at least 20 years, with BTC sales permitted only to retire government debt.
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Miguel Luis “Migz” Villafuerte, a Filipino congressman known for becoming the country’s youngest elected governor, has filed a proposal that would require the central bank to steadily accumulate Bitcoin as part of the Philippines’ sovereign reserves.
The measure, filed as House Bill 421, would direct the Bangko Sentral ng Pilipinas (BSP), the Philippines’ central bank, to purchase up to 2,000 Bitcoin annually over five years, with a maximum of 10,000 BTC to be held in cold storage.
The reserves would be distributed across multiple secure facilities under central bank oversight to minimize risks and ensure resilience.
Villafuerte, who represents the House Committee on Information and Communications Technology, said the Philippines must diversify beyond gold and US dollars to strengthen its financial security.
He called Bitcoin a new “digital gold” that could safeguard the nation’s balance sheet against global shocks and dollar dependence.
The Filipino congressman also pointed to global efforts to integrate Bitcoin into national reserves, mentioning examples in El Salvador, Brazil, Switzerland, and Poland, along with a proposal by US Senator Cynthia Lummis that President Donald Trump has vocally endorsed.
The bill imposes strict conditions on the reserve, prohibiting the BSP from selling or encumbering its Bitcoin for at least 20 years except to retire government debt. One year before the lock-up expires, the central bank must report to Congress on whether to extend the hold period or begin gradual sales, capped at 10% of the reserve every two years.
If enacted, the Philippines would become the first Asian nation to legislate a sovereign Bitcoin accumulation strategy.
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