Czech Central Bank Governor Calls for Bitcoin Investment Plan
Czech National Bank Governor Ales Michl plans to propose investing a portion of the bank's reserves in bitcoin, as stated in an interview published by the Financial Times on Wednesday. The bank is also expected to cut interest rates by 25 basis points next week, according to Michl.
Michl intends to present the bitcoin investment proposal to the board on Thursday. If approved, the bank could allocate up to 5% of its €140 billion reserves to bitcoin. "For the diversification of our assets, bitcoin seems good," Michl remarked.
Despite the recent absence of support from former U.S. President Donald Trump, Michl believes bitcoin will continue its upward trend as it serves as an alternative investment for individuals. Bitcoin reached an all-time high earlier this month, driven by the approval of exchange-traded funds tied to its spot price and optimism regarding regulatory easing under Trump's administration.
Michl also noted the growing investor interest in bitcoin following the launch of bitcoin exchange-traded funds by firms such as BlackRock.