A Swiss National Bank official has removed calls for the institution to add bitcoin to its reserves as a fence against the ongoing macroeconomic disturbance.
According to an April 25 Reuters ReportSwiss National Bank Chairman Martin Schlegel said “Cryptocurrency cannot fulfill the requirements for our currency reserves” during a shareholder meeting in Bern earlier. Comments come in the middle of pressure pressure from the local crypto industry to add bitcoin (Btc) in the central bank reserve.
Campaign Luzius Meisser, a member of cryptocurrency broker Bitcoin Suisse board, said Reuters That “the handling of bitcoin is more aware as the world moves toward a multipolar order.” He admitted that the need was more frustrating now that “the dollar and the euro are weakened.”
This is not the first time Schlegel has pushed against the idea. Reports from early March quoted Schlegel saying that he did not want to make Bitcoin an asset reserve in Switzerland, Noted a lack of stability, liquidity and security concerns risks.
Related: Swiss Canton of Bern Votes to study the ability to mining in Bitcoin
Switzerland campaign for a bitcoin reserve
On the last day of 2024, the Swiss Federal Chancellery began a proposal to signal the Constitutional command of the Swiss National Bank to hold Bitcoin on its balance sheet. The proposal will have to gather 100,000 signatures to have a referendum in Switzerland.
The initiative asked to change the third paragraph of Article 99 of the Constitution. The relevant text currently states:
“The Swiss National Bank should create enough money reserves from its revenues; part of these reserves will be held in gold.”
If successful, the campaign will result in the addition of “and to Bitcoin.” At the end of the paragraph. The initiative saw the participation of Swiss Bitcoin nonprofit think tank 2B4CH, which is responsible for the preparation and submission of documents. The 2B4CH has had some links to the weights in the industry, including Giw Zanganeh, vice president of energy and mining with leading Stablecoin issuer Tether, helping to launch the campaign.
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The campaign is still ongoing
Meisser claims that the handling of Bitcoin will release the central bank from its political influence of its foreign currency holders, most of which are in the US dollar and euro. According to him, “politicians eventually give up the temptation of money printing to fund their plans, but Bitcoin is a currency that cannot be expanded by lack of spending.” 2B4CH founder and chairman Yves Bennaïm to Reuters:
“We’re not saying -go everything to Bitcoin, but if you have about 1 trillion Franc in reserves, as the SNB does, then it makes sense to have 1-2% of that with a possession that rises in value, becomes safer, and everyone wants to be.”
Switzerland is a hub for Blockchain businesses, along with “Crypto Valley” in Zug town which is the location where Ethereum is established. The country continues to form crypto initiatives, with a global giant grocery Spar rolling out bitcoin based payment in a city of Switzerland Earlier this month.
The Crypto Valley Exceeded $ 593 billion appreciation marks.
Magazine: Crypto Valley and the Crypto Oasis:
