Bitcoin News Today: Philippines Proposes 10,000 BTC Reserve to Hedge National Debt

The Philippine government has proposed a groundbreaking financial initiative aimed at creating a strategic Bitcoin reserve to bolster economic stability and diversify national assets. Congressman Miguel Luis Villafuerte introduced House Bill 421, known as the Strategic Bitcoin Reserve Act, which outlines a plan to purchase 2,000 BTC annually for five years, accumulating a total of 10,000 BTC over time. The reserve would be held in cold storage for a minimum of 20 years before being used to address national debt or other financial obligations [1].

The proposal is part of a broader effort to position the Philippines as a leader in the adoption of digital assets as part of national economic strategy. The bill requires the Central Bank of the Philippines to manage the reserve under strict legal and reporting requirements, ensuring transparency and accountability in the asset’s stewardship [2]. Villafuerte emphasized that Bitcoin’s increasing relevance in the global financial system necessitates legislative action to secure long-term economic resilience [1].

The initiative is particularly significant given the Philippines' national debt of $285 billion, which accounts for 60% of GDP. By acquiring Bitcoin—a digital asset with a reported compound annual growth rate of 40%—the government aims to hedge against economic volatility and enhance its financial flexibility [3]. Unlike other countries that have acquired Bitcoin through confiscation or mining, the Philippines would be purchasing the asset systematically, embedding it into its sovereign wealth strategy in a deliberate and structured manner [2].

Some analysts view the plan as a strategic move with high potential. Miguel Antonio Cuneta of Satoshi Citadel Industries described it as “an asymmetric bet in the upside for the Philippines,” noting that investing in a non-correlated asset class could strengthen the country’s financial position without diverting funds from critical sectors [2]. However, the bill is expected to face legislative hurdles, with some experts questioning its immediate feasibility. Luis Buenaventura of GCash suggested that even if the bill does not pass, it could catalyze corporate interest in Bitcoin as a legitimate asset class [2].

The proposed reserve aligns with a growing global trend in which governments are exploring digital assets as part of their economic strategies. Countries like El Salvador and Bhutan have already recognized Bitcoin as a strategic asset, while others are following similar paths. The Philippines’ approach would distinguish itself through a formal legislative framework, making it one of the first Asian countries to adopt such a strategy [2].

If enacted, the reserve would be held separately from traditional assets like gold or foreign currency, offering a novel approach to national wealth management. The initiative highlights the increasing acceptance of Bitcoin in economic planning and underscores its potential as a tool for financial resilience in an unpredictable global environment [5].

Sources:

[1] https://www.coindesk.com/policy/2025/08/25/philippine-congressman-proposes-bitcoin-reserve-to-attack-national-debt

[2] https://finance.yahoo.com/news/philippines-consider-strategic-bitcoin-20-014115647.html

[3] https://www.ainvest.com/news/bitcoin-news-today-philippines-proposes-20-year-strategic-bitcoin-reserve-hedge-national-debt-2508/

[4] https://bravenewcoin.com/insights/philippines-proposes-bold-10000-bitcoin-national-reserve-strategy

[5] https://www.altcoinbuzz.io/cryptocurrency-news/philippine-lawmaker-pushes-bill-for-national-bitcoin-reserve/

[6] https://www.ainvest.com/news/bitcoin-news-today-philippines-bets-bitcoin-hedge-global-uncertainty-2508/