Bitcoin News Today: Philippines Proposes 10,000 BTC Sovereign Reserve Over 5 Years

Generated by AI AgentCoin World
Monday, Aug 25, 2025 2:32 am ET1min read
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Aime RobotAime Summary

- Philippines proposes House Bill 421 to allocate 10,000 BTC to its central bank over five years as a sovereign Bitcoin reserve.

- The plan mandates cold storage, 20-year lockup for debt obligations, and quarterly transparency reports on holdings and key control.

- If passed, the Philippines would become Southeast Asia's first nation to legislate a structured Bitcoin reserve, aligning with broader crypto regulation efforts.

- Proponents highlight Bitcoin's long-term value preservation potential, while critics warn of volatility risks and advocate portfolio diversification.

- The initiative reflects global trends in exploring Bitcoin as an inflation hedge and complements traditional reserves in treasury management.

The Philippines is advancing a groundbreaking legislative proposal under House Bill 421, the Strategic

Bitcoin
Reserve Act, which would establish a sovereign Bitcoin reserve by allocating 10,000 BTC to the Bangko Sentral ng Pilipinas (BSP) over a five-year period. The bill, introduced by Congressman Miguel Luis Villafuerte, envisions the central bank purchasing 2,000 BTC annually and storing the total accumulation in cold storage for 20 years. During this period, the Bitcoin reserve may only be accessed to fulfill sovereign debt obligations. After the lockup, the central bank would be permitted to liquidate no more than 10% of the holdings every two years [1].

The proposed reserve distinguishes itself from ad-hoc or confiscation-based strategies, instead emphasizing a structured and transparent accumulation plan. It mandates a proof-of-reserves framework, requiring the BSP governor to issue quarterly public reports detailing Bitcoin holdings, wallet addresses, and private key control. This approach aims to establish a high level of accountability and transparency, positioning the Philippines at the forefront of sovereign

digital asset
management [2].

If passed, the Philippines would become the first country in Southeast Asia to formally legislate the creation of a sovereign Bitcoin reserve. The bill also underscores the country’s evolving stance on cryptocurrency, particularly as it aligns with broader regulatory tightening efforts, including recent warnings issued to major crypto exchanges by the Securities and Exchange Commission [1].

Proponents argue that Bitcoin offers a strategic, long-term asset with the potential for appreciation, making it a valuable addition to national wealth preservation. However, critics emphasize the risks associated with Bitcoin’s volatility and advocate for diversification in the country’s asset portfolio. The bill is seen as a cautious yet ambitious step toward institutionalizing Bitcoin as a store of value, rather than a speculative or immediate-use asset [1].

The initiative reflects a growing global trend of exploring Bitcoin’s role in treasury management, particularly as a hedge against inflation and a complement to traditional reserves. While the bill is still under review, it signals the increasing recognition of digital assets in national economic planning and highlights the Philippines’ potential to lead in the region’s crypto policy development [1].

Source:

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

[2] https://www.ainvest.com/news/philippines-strategic-bitcoin-reserve-20-year-store-play-sovereign-resilience-2508/